Marsh, an insurance broking and innovative risk management solutions, in collaboration with Validus Specialty, an underwriter of professional liability solutions, announced the availability of FINTECH Protect, a new efficient, cost-effective financial and professional insurance solution designed to manage US-based fintech companies’ growing risks.
From the time a fintech company is launched it is exposed to a range of risks from external and internal sources that can strain day-to-day operations and threaten the assets of the firm as well as its executives. As the industry grows, not only is the regulatory spotlight on the sector expected to intensify, but evolving cyber and privacy risks also contribute to the increased potential for significant loss.
Traditional insurance forms designed for either the financial or technology industries do not effectively address the full scope of these risks. Piecing together multiple policy forms and insurers is inefficient and can often result in gaps in coverage, higher costs, and unfavourable claims experiences.
FINTECH Protect simplifies the process by offering comprehensive financial protection against management, professional, employment, and cyber liability risks, and broad coverage for direct losses associated with theft, computer crime, extortion, data breach, and technology failure, in one simple solution.
Coverage is available to privately held firms operating in the established and emerging fintech space, including those backed by venture capital and private equity funds, with up to $10 million in primary, blended limits and excess capacity available.
Tom Orrico, Financial Institutions Practice leader within Marsh’s financial and professional insurance business (FINPRO) said: “Fintech companies face increasingly complex risks from several sources, including investors, clients, regulators, competitors, and extortionists, as well as those associated with computer crime, data breaches, and technology failures. With FINTECH Protect, we are enabling fintech firms to manage risk early in their financing cycle, with a simplified, comprehensive, and cost-efficient insurance solution.”
Cathy Cossu, senior vice president of professional lines at Validus Specialty, added: “Traditional insurance policies do not adequately address the complex and varied risks faced by fintech firms. Working with Marsh, we’ve challenged industry norms by crafting an innovative and market-leading solution specifically tailored to address these complex risk management needs.”
An insurance broking and innovative risk management solutions, Marsh’s 30,000 colleagues advise individual and commercial clients of all sizes in over 130 countries. Marsh is a wholly owned subsidiary of Marsh & McLennan Companies (NYSE: MMC), the global professional services firm in the areas of risk, strategy and people. With annual revenue over US$14 billion and nearly 65,000 colleagues worldwide, MMC helps clients navigate an increasingly dynamic and complex environment through four market-leading firms. In addition to Marsh, MMC is the parent company of Guy Carpenter, Mercer, and Oliver Wyman.
About Validus Specialty Underwriters
Validus Specialty offers a wide range of E&S and Admitted insurance solutions and operates on behalf of Western World Insurance Group and Talbot Underwriting Ltd., through Syndicate 1183. With the flexibility of offering ‘A’ rated Lloyd’s paper and ‘A’ rated U.S. domestic excess & surplus lines and admitted paper through Western World insurance companies, Validus Specialty offers enhanced distribution access, excellent technical underwriting and claims management, and access to leading underwriting capacity. We are part of Validus Holdings, Ltd. (NYSE: VR), a leading global provider of reinsurance, insurance, and asset management services. Validus companies maintain a worldwide presence with more than 1,000 employees in 17 offices.