(Image source: Guidewire Cyence homepage.)
Guidewire Software, Inc. (San Mateo, Calif.), a provider of core systems, data and digital solutions to the property/casualty industry, has announced the immediate availability of the fourth-generation model update (Model 4) for Guidewire Cyence for Cyber Risk Management. Guidewire describes the offering as an enhanced cyber event risk modeling solution that includes a new event modeling scenario designed to estimate the origin of losses resulting from a mass business interruption following a ransomware event.
The vendor places the announcement in the context of ransomware attacks having grown more advanced, selective, and concentrated. In the first quarter of 2019, ransomware attacks grew by 118 percent, new ransomware families were detected, and threat actors used innovative techniques, according to the McAfee Labs Threats Report. Ransomware attacks in 2018 crippled numerous types of businesses, large and small, worldwide, and attackers are looking for higher payouts from selected targets, shifting the dominant victim profile from consumer to enterprise.
“Guidewire is at the forefront of cyber risk modeling, and we continue to evolve our data and models to enable insurers to more accurately underwrite and assess the latest cyber threats,” comments George Ng, chief technology officer, Cyence Risk Analytics, Guidewire Software. “Model 4 will be delivered with an enhanced level of transparency. Users will be able to dive deeper into the model to more easily identify modeled assumptions, allowing them to better explain cyber risk and events in dollars and probability.”
More Confidently Assessing and Pricing Ransomware Risks
In addition to the introduction of advanced analytics modeling for ransomware to reflect the evolving cyber landscape, Model 4 includes significant risk rating model enhancements, improved self-service capabilities, and the incorporation of extensive claims data and new data sources, according to Guidewire. The vendor sasy the Model 4 advancements expand the parameters of risk evaluation with the addition of an accumulation event for ransomware, and provide the stability, granularity, and traceability of model outputs for Enterprise Risk Managers to efficiently report, better explain, and more accurately formulate capital decisions. “By having a comprehensive view of cyber risk exposure, insurers can improve their portfolio exposure management, set appropriate limits, and gain the confidence to adapt and succeed in this fast-changing environment,” the vendor asserts.
“Cyence for Cyber Risk Management, Model 4, introduces exciting new capabilities for insurers,” comments Paul Mang, general manager, Analytics and Data Services, Guidewire Software. “We believe it will help underwriters more confidently assess and price ransomware risks and provide portfolio managers with new insights as they manage their overall cyber exposures.”