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Mutual Miris to Provide Cyber Cover for European Members

As a European insurer, Miris said it can only accept members from the European Union and European Economic Area.
  • David Pilla
  • November 2022

A Brussels-based mutual insurance company will provide cyberrisk coverage to its members beginning Jan. 1, 2023. The insurer, called Miris, is owned by and operates for its members, the company said in a statement.

For the first two years of operation, Miris will allocate up to €25 million (US$24.3 million) of capacity to each member. The mutual said it will operate in coinsurance with the insurance market, taking the wording and pricing from the market. The minimum attachment point will be €10 million. Depending on the underwriting performance of Miris, the capacity granted is expected to increase to €30 million in the third year.

Prospective members for Miris membership must be screened for their financial strength and cyberrisk management capability.

Miris


Membership in Miris is “predetermined and exclusive,” the company said. It is a “capitalized mutual” and membership is only granted after payment of the capital, which makes it different from commercial mutuals where the payment of premiums confers membership.

Prospective members for Miris membership must be screened for their financial strength and cyberrisk management capability, Miris said. Its board of directors then decides whether to submit a membership application to a general meeting of all the members, who then decide whether to accept the new member. All members pay for the initial capitalization and all must participate in the general meeting, Miris said. Each member has one vote at that meeting.

All members must maintain an insurance policy at all times during their membership, though new members have a grace period so that their first policy aligns with their annual policy cycle. The first policy begins on Jan. 1, 2023, but individual members' policies can incept at any time during the year, to reflect the annual renewal date chosen by the member.

As a European insurer, Miris said it can only accept members from the European Union and European Economic Area (EU member states plus Iceland, Liechtenstein and Norway). Its license application is for direct insurance, but its Belgium domicile means it can also accept incoming reinsurance where necessary. It can cover the activities of its members worldwide, subject to sanction limitations, through policies issued in Europe. Lloyd's earlier said it is implementing exclusion requirements in stand-alone cyberattack policies for state-backed cyberattacks beginning March 31, 2023, at the inception or on renewal of each policy.


David Pilla is a news editor. He can be reached at david.pilla@ambest.com.



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