Hutch Underwriting (Hutch), an insurtech start-up that offers innovative insurance products backed by Lloyd's of London, has launched a new residential strata insurance policy – the first in the Australian market.
The new strata policy offers body corporates protection from cybercrimes. It is available to brokers digitally via Sunrise Exchange under product code HUTSTR.
Hutch CEO Robin Johnson, an experienced insurance executive whose career spans London, Australia, and Asia, said: “The Australian Cyber Security Centre estimates cybercrime cost Australia $33bn annually, and stratas are unfortunately in that small and micro-segment that lost the most money to scams last year. We've designed our innovative new residential strata policy for the exposures of today, including cyber cover for loss of funds as a result of cybercrime, and defence costs for liability claims resulting from a cyber breach.”
Cyberattacks have been rampant in Australia, with children's charity The Smith Family being the latest organisation to fall victim to it.
Commenting on Hutch's new policy, Eden Winokur, cyber partner at Hall & Wilcox law firm, emphasised that obtaining cyber insurance is crucial in risk mitigation strategies in an increasingly risky cyber environment.
“We've seen the impact of body corporates losing funds to cyber fraud, and I support strata insurance products providing cover for cyber,” Winokur said.
Melodi Emadi, strata underwriting manager for Hutch, said: “As well as being the first to market with a cyber offering for residential strata, we're also proud to be the only strata product that offers brokers the convenience of Sunrise Exchange.”