Willis Re, the reinsurance division of Willis Towers Watson, has launched the next generation of its cyber risk portfolio modeling tool PRISM-Re.

PRISM-Re was first released in February 2015 to help Willis Re’s clients manage their cyber portfolios and estimate downside risk arising from privacy breach. Willis Re said the update to PRISM-Re offers the market its first access to the modeling of cyber losses on a worldwide basis arising out of network outages, in addition to data privacy breach.

The 2016 update includes the following enhancements:

• Network outage modeling.
• Parameters covering global exposures.
• Expanded and refined industry sector groupings.
• More data for common shock component and increased evidence of cyber “contagion.”
• All model parameters updated using data through year-end 2015.

Willis Re said the updated PRISM-Re model will help underwriters and reinsurance buyers to more effectively manage their entire cyber portfolio, identify contagion risks, monitor shifts in risk profiles, track their risk-adjusted pricing and ultimately evaluate their reinsurance strategies.

Source: Willis Re