ICMIF Supporting Member Guy Carpenter, a global risk and reinsurance specialist and a business of Marsh McLennan, has announced the creation of its new cyber reinsurance product, CatStop+. The first transaction under CatStop+ was completed during the 1 January 2024 renewal period. According to Guy Carpenter, the product’s innovative approach blends low-attaching cyber event cover with proven mechanics and attritional protection of aggregate stop loss.

Guy Carpenter says CatStop+ is a first-of-its-kind, market-tested structure designed to address the volatility of cyber risk. Leveraging proprietary wording, flexible architecture, and analytics from GC’s CyberExplorer® DataLake, the approach provides low-attaching catastrophic protection without the potential for basis risk. CatStop+ helps solve many of the hurdles cyber (re)insurers face, striking a balance between coverage from peak perils, tail protection and cost effectiveness, while bringing clarity to recovery of losses resulting from a severe cyber event.

Erica Davis, Global Co-Head of Cyber, Guy Carpenter said: “CatStop+ offers our clients protection against cyber cat losses with transparency and timeliness. It addresses event definition basis risk concerns with a sleep-at-night aggregate stop loss cover, while also achieving cost efficiencies. We are thrilled to offer our clients the reinsurance solutions they need as the cyber market continues to evolve.”