HSB Introduces Cyber Insurance for Autos

• Cyber for Auto covers the owners of personal vehicles
• Designed for cyber threats on the road
• Covers cyber-attacks, ransomware, and identity theft
• Safeguards data stored in cars and connected apps

Hartford, CT (Mar. 26, 2024) – With millions of connected vehicles on U.S. roads, personal cars and trucks will likely be the next big target for hackers and cyber thieves. Specialty insurer HSB is helping consumers respond with Cyber for Auto, a new coverage that will be available for cyber-attacks, the company has announced.

HSB’s unique proposed coverage helps safeguard private information that is stored in personal vehicles and connected to cloud-based and wireless communication networks.

“Automakers continue to integrate new technologies into today’s vehicles,” said James Hajjar, chief product and risk officer for the Treaty Division of HSB, part of Munich Re. “With each added system or connection, there are new vulnerabilities that hackers and other cyber criminals can exploit. Cyber for Auto helps insurers and their customers stay ahead of these new cyber exposures.”

Cyber Hacks and Malware Attacks

Passenger vehicles built after 2020, and many older models, have sensors, computers, and other connected technology, which means there is the risk of a cyber-attack.

When drivers connect their smartphones with cars, pickups, and SUVs, they could expose their personal data and connected technology to hackers and other cyber criminals, leaving them vulnerable to cyber-attacks, online extortion, and identity theft.

HSB Cyber for Auto is designed to cover attacks on personal data that is connected and stored in a vehicle.

Consumers Worry About Cyber Security

While hacking into vehicles is not yet the norm, it is only a matter of time when peoples’ cars will become the target for ransomware, identity theft, and other types of cyber-crime.

A recent HSB survey found 72 percent of consumers have synced their phones with their personal vehicles and 60 percent store personal information in their vehicle computer systems.

Thirty-six percent are very concerned their personal information will be compromised and 28 percent are extremely concerned. Concern jumps to 79 percent among those with plug-in electric vehicles.

Coverage Triggered by an Auto Cyber-Attack

HSB Cyber for Auto can provide drivers with peace of mind.

Core coverages can include cyber-attacks, including malware and viruses, and ransomware demands to release information or threats to make confidential data public.

Identity recovery coverage and services are not limited to information stored in the vehicle but can apply anytime personally identifying information has been compromised. Additional benefits can include payment for towing, labor, and temporary transportation charges while affected auto systems are restored.

HSB’s Cyber for Auto will be available^[1] through an endorsement to the policies of insurance companies that partner with HSB. Visit HSB’s website for more information.

Notes

1. The Cyber Security for Automobile Insurance offering described above has not been approved by any state insurance departments.

About Hartford Steam Boiler (HSB)

HSB Canada, part of Munich Re, is a multi-line specialty insurer and provider of inspection, risk management and IoT technology services. HSB Canada’s insurance offerings include equipment breakdown, cyber risk and other coverages. HSB blends its engineering expertise, technology and data to craft inventive insurance and service solutions for existing and emerging risks posed by technological change. Throughout its 150-year history HSB’s mission has been to help clients prevent loss, advance sustainable use of energy and build deeper relationships that benefit business, public institutions and consumers. HSB holds A.M. Best Company’s highest financial rating, A++ (Superior). For more information, visit www.hsb.ca.

About Munich Re

Munich Re is one of the world’s leading providers of reinsurance, primary insurance and insurance-related risk solutions. The group consists of the reinsurance and ERGO business segments, as well as the asset management company MEAG. Munich Re is globally active and operates in all lines of the insurance business. Since it was founded in 1880, Munich Re has been known for its unrivalled risk-related expertise and its sound financial position. It offers customers financial protection when faced with exceptional levels of damage – from the 1906 San Francisco earthquake through Hurricane Ian in 2022. Munich Re possesses outstanding innovative strength, which enables it to also provide coverage for extraordinary risks such as rocket launches, renewable energies or cyberattacks. The company is playing a key role in driving forward the digital transformation of the insurance industry, and in doing so has further expanded its ability to assess risks and the range of services that it offers. Its tailor-made solutions and close proximity to its customers make Munich Re one of the world’s most sought-after risk partners for businesses, institutions, and private individuals. For more information, please visit www.munichre.com.

SOURCE: Munich Re

Tags: auto insurance, Cyber Insurance, Hartford Steam Boiler (HSB), launch, Munich Re