Mosaic Insurance is building a cybersecurity underwriting unit in Bermuda to align its global business strategy around the fast-growing risk.

The Bermudian-based specialty insurer said it had transferred its cyber team underwriter George Cole from London to the company’s Bermuda corporate headquarters, following his temporary secondment to the island late last year.

The company said that the move added another cyber underwriting hub to Mosaic’s expanding network. The company has cyber underwriters in London, New York, and Chicago, with plans to add more in Toronto and Frankfurt later this year.

“Bermuda is a centre of excellence for underwriting and it’s going to be a really important market for the growth of cyber insurance,” said Yosha DeLong, Mosaic’s global head of cyber.

She will participate on a panel at the Bermuda Risk Summit discussing “Bridging the Cyber Coverage Gap”, examining cyber need and pricing, and how to manage cyber risks effectively.

Ms DeLong said: “There’s a lot of thought leadership and innovation coming out of the Bermuda market, in the cyber space, in particular.

“Part of that can be attributed to this market’s ability to be nimble when looking at product solutions and it’s going to be a great opportunity. I envision Mosaic launching new products out of Bermuda as we further develop this business line around the world.”

The company said Mr Cole would underwrite cyber opportunities coming through the Bermuda marketplace, focused on securing high-excess layers of coverage for Mosaic’s global clients.

Mosaic intends to provide cyber solutions and thought leadership in major insurance hubs across the globe, with Bermuda playing an important part in that distribution strategy.

Mr Cole said: “I’m excited to progress our cyber strategy in Bermuda and build out a well-balanced cyber portfolio.

“The opportunity we have in Bermuda -- to gain visibility into the global market, understand our customers’ changing cyber risk requirements, and offer commensurate risk-transfer solutions -- is unlike that of any other marketplace in the world.”

Mosaic said that with cyber underwriters in place in the UK, US, and Bermuda markets, it could provide coverage across major insurance placement hubs. The company said it would be looking to build its Bermuda presence in this line with the hiring of an additional cyber underwriter here this year.

Mosaic said it was developing market-leading aggregation studies, risk-assessment, loss-prevention and response capabilities to ensure its cyber underwriting product was informed by advanced data analysis. The company added that it was highly discerning in the risks it took on.

Ms DeLong said: “Insurance traditionally has a look-back perspective across all lines.

“Cyber is forcing us, as an industry, to look forward, anticipate change to threats and prevention, focus on recovery from events, and work with insureds to improve their overall security posture and culture.

“Cyber is a peril, not just an insurance product -- and cyber events affect all insurance lines of business.

“There’s an opportunity for innovative cyber insurance solutions, as well as an obligation for cyber insurance carriers to influence and implement overall cybersecurity improvements and minimum expectations across the globe.”