Kovrr Launches the CRIMZON™ Framework to Help (Re)Insurers Measure and Manage the Impact of Systemic Cyber Events

October 5, 2021 9:00 AM EDT

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Open Framework Helps Improves Risk Management, Threat Assessment, and Event Response

TEL AVIV, Israel--(BUSINESS WIRE)-- Kovrr, a provider of cyber risk modeling and quantification for global enterprises and (re)insurers, today announced the launch of the CRIMZON (Cyber Risk Impact Zones) framework for comparing and managing accumulations of systemic cyber risk. Formerly named CRA-Zones, the CRIMZON framework expands (re)insurance applications beyond identifying risk accumulation to include cyber threat assessment and trend analysis, deeper risk management and monitoring, as well as event response.

The CRIMZON framework divides global regions into ‘Impact Zones’ comprising three elements: location, the size of the entity, and the industry type. The framework is based on research that demonstrated companies from the same location and industry often rely on the same technologies and third-party service providers leaving them exposed to similar cyber attacks or failures.

“When we first developed this framework, the goal was to help (re)insurers measure catastrophic cyber risk exposure on their portfolio, but we realized that it could do so much more to help companies address the potential financial impact of cyber on the business, identify trends in advance, and proactively respond to these events,” said Yakir Golan, CEO and co-founder of Kovrr. “The CRIMZON Framework is extremely useful in this current cyber insurance climate where ransomware is becoming its own pandemic, and in which carriers want to grow their cyber portfolios but are increasingly fearful of how a single disaster could drive huge losses.”

CRIMZON helps (re)insurers in three critical ways:

  • Risk Management and Risk Monitoring: Each Impact Zone carries an inherent level of risk defined by the three dimensions: geography, entity size and industry. Insurers can use this framework to manage risk aggregation against risk appetite, improve diversification within larger portfolios, and create more targeted pricing structures tailored to actual level of risk.
  • Cyber Threat Assessment & Global Trend Analysis: The framework can be used to assess the current threat levels of each zone, which are targeted by cyber attacks in different ways and for different purposes. (Re)insurers can react more quickly to developing trends in the threat landscape, and focus on what zone requires the most attention to avoid one-size-fits-all solutions.
  • Event Response: The framework helps quantify the “footprint'' of a cyber event, in terms of which ‘Impact Zones’ were affected, the percentage of the population within each zone, and the local intensity. This allows effective distribution of resources, estimating future costs and insurance claims related to cyber events. It also allows for a more granular and realistic description of potential cyber scenarios where a hypothetical threat can be projected on each zone and analyzed separately.

For more information on Kovrr’s CRIMZON framework and its broader portfolio exposure management solutions, visit www.kovrr.com.

About Kovrr

Kovrr's cyber risk modeling platform delivers global enterprises and (re)insurers transparent data-driven insights into their cyber risk exposures. The Kovrr platform is designed to help chief risk officers, chief information security officers, underwriters, exposure managers, risk professionals and catastrophe modelers understand, financially quantify and manage cyber risk by utilizing AI-powered risk models. For more information, please visit www.kovrr.com or follow us on Twitter or LinkedIn.

Fusion PR (for Kovrr)
Ross Blume
E: Kovrr@fusionpr.com

Alona Gelber
E: alonag@kovrr.com
T: +972 52 847 5718

Source: Kovrr

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