Underwriting Trend	2021 Q4 State of the Cyber Market	2023 Q1 State of the Cyber Market
Premium trends — Primary	Premium increases 30-150%. Certain classes exceeding 400%.	Premiums flat to 20%. Some decreases in the 5% range on more favorable classes. Carriers are more aggressive on new business.
Premium trends — Excess	100%-120% ILF	Excess cover easier to obtain and significantly less expensive. 65%-80% ILF.
Retentions/deductibles trends for middle market and Risk Management (RM) clients	10x not uncommon	Stable/flat
Co-insurance	10-50% for certain carriers, both specific to ransomware event specific and across the board.	New entrants to the market are typically not employing co-insurance. There's often a reduction in use and percent among those who previously did. Application is often industry specific.
Systemic risk event/exploit specific exclusions	Just being introduced: Log4j, SolarWinds, Microsoft Exchange, Accellion, specific CVE rating exclusions	Log who? Carriers are implementing new approaches to mitigating exposure to systemic risk events: Expanding what is considered infrastructure. Easing of CVE exclusions among some markets
MFA	Required, or no coverage for vast majority of markets	Limited easing for more favorable SME classes, but still required from all markets for middle market and risk management accounts. Some MFA vulnerabilities are well publicized.
Scans	Increased use, beyond insurTechs	Same, but willingness to waive on SME accounts without websites.
War/terrorism	Not specifically referenced	An increasingly edited coverage due to armed conflict with Russia/Ukraine. Many carriers are scaling back previously wide grants of cover for electronic acts to mitigate loss when associated with a physical war between two nation states.
Reduction in limits deployment	$10M limit first to go, then $5M limit	$5M limit returning in limited pockets, with talk of $10M limit among a few, for favorable classes of business. Still uncommon.
Admitted vs Non-Admitted	Shift from Admitted to Non-Admitted, allowing more nimbleness in premium adjustment and coverage T&C	Markets with an admitted product are also seeking a non-admitted version. Many who were exclusively non-admitted are filing admitted versions of their form, recognizing demand for admitted coverage by independent agents, particularly on SME risks.
Manufacturing, Construction, Wholesale Distribution, Public Entity, Education	Many markets moving away from these classes completely due to loss frequency and severity	Restrictions largely remain, but increased underwriting in Manufacturing, understanding more closely the IT/OT relationship and protections in place, allowing some room for discussion. Carrier specific.

Special Reports /

Surprises continue in the 2023 cyber insurance market

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