CyFly covers the unique cyber risks airlines face every day
Cyber risks are a top priority in the airline sector as the use of technology becomes increasingly integrated into business processes.
In 2016 WTW conducted a survey, the WTW Transportation Risk Index, which identified cyber and digital risk among the top three risks facing the transportation industry globally. Airlines continue to expand their IT network perimeter to touch all aspects of their operations. These increased dependencies can result in significant financial damage and long-term reputational harm should an airline or one of its partners sustain IT outages or hacking attacks.
Our cyber proposition is unique to airlines. CyFly’s response to this dynamic risk environment surpasses off-the-shelf cyber coverage and relieves your key concerns as an airline.
Generic cyber insurance is unlikely to target specific areas such as:
- Passenger compensation (e.g. EU261) exposures arising from a system outage.
- Tarmac delay regulatory fines (e.g. under Title 14 of the US CFR Part 259) arising from a system outage.
- Global Distribution System (GDS) and other critical aviation service provider originating business interruption.
- Potential for agreed minimum value business interruption cover per flight cancellation.
- Frequent flyer program fraud.
- Reputational damage cover based on airline-specific measures of loss.
- The broadest possible system failure business interruption cover, including coverage for accommodating or rerouting flight crews and sharing of fares with codeshare partners to accommodate passengers who have been affected by the disruption.
- Cyber security regulatory (rather than just data protection) exposures (under e.g. the NIS Directive).
This customized airline product underwritten by AIG is further enhanced by pre-loss risk management solutions and post-event incident response.
What this means for you
If, for example, the GDS you use suffers a network outage, it could easily cause hundreds of flight cancellations, lost income and ongoing disruption. CyFly makes compensation for this loss of income possible, and for those purposes, ongoing costs such as aircraft leasing and the costs of accommodating cabin crews.
Why WTW?
More than half of all cyber incidents begin with employees, so it is a people problem as well as capital. As a global leader in human capital solutions, risk advisory and broking, we are well-prepared to assess your cyber vulnerabilities, protect you through innovative solutions and help improve your ability to successfully recover from future incidents.
