Intangic MGA, a London-based cyber managing general agent (MGA), has been launched with capacity backing from AXA XL, offering new cyber insurance cover for large public corporations headquartered in the UK.
The company is led by an executive team with a combination of expertise from insurance, data science, financial markets, and cyber security to offer a new model for the cyber insurance market.
Intangic offers public corporations cover of up to $15 million (£12.5 million) in the UK market to protect against losses from material cyber breaches. Plans are underway to extend this offering to the U.S. market.
Intangic MGA’s cyber policy, called CyFi™, has two simple parametric triggers: the level of malicious activity targeting a company, and a subsequent loss in value. The triggers ensure that all parties have a transparent dashboard for the real-time monitoring of risk activity – a first for an underwriter in the cyber insurance market. There is no claims adjustment. When both of the triggers are met, there is a fast payout in days, not months.
Intangic MGA is bringing new capacity to the market to complement existing cyber indemnity cover. CyFi™ product provides smart parametric cyber cover that strengthens rather than replaces existing cyber indemnity policies.
“It really just comes down to thinking differently about the problem,” said Ryan Dodd, chief executive officer and founder of Intangic.
“The security teams at large corporations have to manage cyber threats all day, every day. Our approach assesses cyber as a high-frequency risk. By accepting cyber attacks as ‘constant,’ we can measure a link between how these attacks are managed and the financial impact they have on corporate operations,” Dodd added.
“Our parametric triggers make this link visible, enabling fast recovery from covered material breaches and giving corporations a new type of insurance risk transfer. By doing this, we have converted cyber risk to a language the board understands,” he said.
“This is a simple and innovative solution to a complex problem,” said Luis Prato, chief underwriting officer, UK & Lloyd’s at AXA XL. “Intangic’s policy and the mechanisms behind it create a different way to approach risk and unlock capacity for cyber for large public corporations, helping them to strengthen their cyber risk programme.”
“Companies are looking for a new approach from the market and a clear, fast recovery from their insurance protection – our product offering provides this,” said Mark Heath, head of Insurance and chief underwriting officer, Intangic MGA.
By analyzing thousands of corporations over several years, Intangic found that companies struggling to manage the financial impact of cyber attacks have, on average, a 250% higher probability of suffering material losses compared to peers who had better cyber attack management. CyFi™ was designed to address the problem of constant cyber threats as early as possible to lower the probability of customers suffering significant losses from attacks.
“We brought multiple areas of risk expertise together to think about cyber differently and, through data science, we have converted what is considered an invisible risk into something more measurable and – ultimately visible – to large corporations,” said Dodd. “We want to demystify cyber to anyone outside of our customers’ cyber security team. We can, as a result, help risk managers improve the overall effectiveness of their cyber insurance programmes, including timely payouts.”
Intangic MGA’s Team
Ryan Dodd leads data science, technology and product vision at Intangic, bringing real-world cyber and financial modelling experience, including 20 years as hedge fund manager (inc. Man GLG) and structuring financial risk products.
Joining Dodd at Intangic MGA is Mark Heath as head of Insurance and chief underwriting officer. Heath has 35 years of insurance experience, including senior executive roles in both underwriting and broking at AIG and Aon. He experience across many different classes of insurance including innovative solutions with a background in risk financing and captive reinsurance. Heath heads up the MGA.
Debbie Durkan has joined Intangic MGA to lead growth and client distribution. Durkan was most recently chief client officer at Marsh Commercial and prior to that Global Head of Development at Bowring Marsh. Durkan has over 25 years of client growth and development experience within major Broking houses.
Dana Deasy was appointed as chairman of Intangic and adviser to Intangic MGA. Deasy’s previous roles include chief information officer (CIO) for the U.S. Department of Defence, CIO and managing director at JP Morgan Chase, and CIO at BP.
In addition, Chris Key will serve as a director of Intangic and adviser to Intangic MGA. Key is a former chief product officer at Mandiant, the market leader in threat intelligence and expertise gained on the frontlines of cyber security. Key was also founder and CEO of Verodin Inc. (acquired by FireEye/Mandiant).
Intangic is backed by Paladin Capital Group, with Ken Pentimonti, Paladin’s European general manager and principal, sitting on Intangic MGA’s board.
About Intangic MGA
Intangic MGA Ltd is a joint venture between Intangic and Acies Management Holdings Ltd. (Acies MGU), which is authorized and regulated by the UK Financial Conduct Authority (FCA).
About AXA XL
AXA XL, the property & casualty and specialty risk division of AXA, provides insurance and risk management products and services for mid-sized companies through to large multinationals, and reinsurance solutions to insurance companies globally.
Source: Intangic MGA