CFC Underwriting Insurance Review
Brief Introduction and Overview of the Company
CFC Underwriting is a specialist insurance provider renowned for its expertise in emerging risks, particularly within the dynamic cyber insurance market. Initially launched in 1999 as ClickForCover.com, the company has undergone significant growth and transformation, establishing itself as a market leader across diverse sectors. These sectors include cyber, professional indemnity, management liability, manufacturing, media and entertainment, technology, and property and casualty liabilities. CFC's strategic focus on innovative insurance solutions positions it at the forefront of risk mitigation for businesses operating in today's complex digital landscape.
Key Highlights of the Company’s Market Position and Reputation
- Market Leadership: CFC is widely recognized as a pioneer and market leader in the cyber insurance sector, consistently demonstrating innovation and expertise in managing emerging cyber risks.
- Global Presence: With a primary base in London and strategically located offices in New York, Austin, Brussels, and Brisbane, CFC serves a vast client base of over 100,000 businesses spanning 90 countries, showcasing its international reach and commitment to global service.
- Awards and Recognition: The company's consistent excellence and industry leadership have been acknowledged through numerous prestigious awards, including accolades such as Cyber SME Insurer of the Year, Cyber Risk Event Response Team of the Year, and Cyber Risk Industry Person of the Year (EMEA) at the 2021 Advisen Cyber Risk Awards. These recognitions underscore CFC's commitment to high standards and impactful contributions to the industry.
Overview
Year of Establishment and Background Story
Established in 1999 during the peak of the dot-com boom, CFC Underwriting, originally known as ClickForCover.com, emerged as an early innovator in online commercial insurance. This early adoption of technology laid the foundation for its current position as a leading global insurance provider. The company's initial focus on providing streamlined online insurance policies quickly evolved into a comprehensive approach to risk management and insurance solutions.
Key Milestones in the Company’s History and Growth
- Transition to Traditional Model: CFC successfully transitioned from its initial online-only model to a more established business structure, rebranding as CFC Underwriting and broadening its service offerings and clientele.
- Expansion into Lloyd’s: Becoming part of Lloyd’s of London, one of the world's leading insurance markets, significantly enhanced CFC's credibility and global reach. This affiliation underscores the company's commitment to established industry standards and regulatory compliance.
- Creation of CFC Syndicate 1988: In 2021, the establishment of Syndicate 1988 further solidified CFC's presence within Lloyd's, writing approximately 20% of their portfolio and generating significant premium income. This milestone highlights the company's sustained growth and market influence.
Regulatory Compliance and Licenses
Operating under the robust regulatory framework of Lloyd's of London, CFC Underwriting adheres to the stringent standards and compliance requirements of this esteemed global insurance market. By channeling all customer policies through Lloyd's, CFC ensures the highest level of regulatory compliance, providing clients with confidence and security in their insurance coverage.
Insurance Products and Services
Main Insurance Products
CFC Underwriting offers a diverse portfolio of insurance products tailored to meet the specific needs of various industries and business models:
- Cyber Insurance: A cornerstone of CFC's offerings, their extensive cyber insurance solutions safeguard businesses against data breaches, cybercrime, and business interruption. With over two decades of experience in the cyber market, CFC has established itself as a trusted provider, protecting over 60,000 policyholders in over 65 countries.
- Professional Indemnity: Providing critical protection for professionals and businesses, especially within the tech sector, CFC's professional indemnity insurance mitigates risks associated with professional negligence and errors.
- Manufacturing Insurance: Comprehensive insurance coverage for manufacturers, addressing potential risks such as product recalls, production delays, business interruptions, and supply chain disruptions.
- Healthcare Insurance: Specialized healthcare coverage tailored for allied health professionals, eHealth businesses, and digital medicine providers, including essential medical malpractice insurance.
- Financial Technology (FinTech) Insurance: Innovative solutions for businesses operating in the financial technology sector, including digital banking, payment services, investment platforms, and apps, enabling secure and protected technological transformations within financial services.
- Intellectual Property (IP) Insurance: Protecting innovators and their valuable intellectual property rights from infringement and other potential threats.
- Transaction Liability Insurance: A dedicated team specializing in M&A transactions providing comprehensive coverage for representations and warranties insurance, facilitating smooth and protected mergers and acquisitions.
Additional Services
Beyond its extensive insurance products, CFC Underwriting provides additional value-added services to enhance client experience and risk management:
- Claims Assistance: CFC boasts one of the world's largest claims and incident response teams, providing swift and effective support in the event of a claim, demonstrating their commitment to assisting clients during challenging times. Their expertise and experience in handling claims ensure efficient resolutions.
- Cyber Education and Marketing Materials: CFC's proactive approach to cyber awareness includes providing resources and educational materials, fostering a better understanding of cyber risks and available insurance solutions. This commitment to education ensures greater accessibility and comprehension of their cyber insurance offerings.
Premiums and Pricing
Pricing Structure
CFC Underwriting's pricing is competitive and customized to meet the individual needs of each business. The company leverages advanced automation and data science through its Connect platform to streamline the quoting process, facilitating efficient and transparent pricing for brokers and their clients.
Discounts and Special Offers
CFC offers various discounts to enhance the value proposition for its clients:
- Multi-Policy Discounts: Businesses bundling multiple policies can benefit from significant premium reductions.
- Industry-Specific Discounts: Targeted discounts tailored to specific industries, recognizing the unique risk profiles and needs of various sectors.
Customer Service and Support
Contact Methods
CFC Underwriting provides multiple channels for clients and brokers to access support and assistance:
- Phone: +44.207.220.8500
- Email: [email protected]
- Live Chat: While specific details regarding live chat availability may vary, CFC strives to offer efficient and prompt communication with brokers and end clients.
Pros and Cons of CFC Underwriting Insurance
Pros
- Comprehensive Coverage: CFC provides a wide range of insurance products offering extensive coverage across various business risks, ensuring comprehensive protection for diverse needs.
- Competitive Premiums: Their pricing model offers competitive rates, making insurance solutions accessible and cost-effective for a broad range of businesses.
- Expertise in Emerging Risks: CFC's specialization in emerging risks, particularly within the rapidly evolving cyber landscape, provides clients with the specialized expertise needed to navigate modern challenges.
Cons
- Broker-Only Model: CFC's business model relies on partnerships with insurance brokers, limiting direct consumer access and requiring clients to engage with a broker to obtain insurance.
- Complexity in Policy Details: The comprehensive nature of some policies may require specialized knowledge to fully understand the coverage and its implications.
Conclusion
CFC Underwriting stands as a prominent specialist insurance provider with a strong focus on emerging risks, particularly in the crucial cyber insurance arena. Founded in 1999, the company has experienced substantial growth and has established itself as a leader in several key insurance sectors. Their extensive product portfolio caters to the diverse needs of businesses across various industries, offering competitive pricing and comprehensive coverage. While the broker-only model and policy complexity may pose some challenges, CFC's strengths lie in its expertise in emerging risks, robust claims support, and commitment to customer service.
Recommendations on Who Would Benefit Most from the Company’s Insurance Offerings: Businesses operating in the technology sector, healthcare industry, financial institutions, and manufacturing would significantly benefit from CFC Underwriting's tailored insurance solutions. Their proficiency in navigating emerging risks, particularly cyber threats, positions them as a reliable partner for organizations seeking to mitigate modern business risks effectively.
Frequently Asked Questions about CFC Underwriting Insurance
- How do I get business insurance from CFC Underwriting? You must obtain business insurance through an insurance broker; CFC does not sell directly to consumers.
- What types of insurance does CFC Underwriting specialize in? CFC specializes in cyber security and tech insurance, along with commercial general liability, commercial property, professional liability, management liability, and more.
- Is CFC Underwriting an MGA? Yes, CFC Underwriting operates as a managing general agent (MGA), acting as an intermediary between insurance companies and brokers.
- Who backs CFC Underwriting? CFC Underwriting operates under the regulatory oversight of Lloyd's of London, ensuring compliance with its stringent standards.
- What are the key features of transaction liability insurance offered by CFC? Key features include coverage for innocent breaches of seller warranties, rapid policy placement (within 24 hours), and post-closing coverage arrangement. The underwriting team includes experts with backgrounds in M&A law, investment banking, and chartered accountancy.
References
- https://getindemnity.co.uk/company-providers/cfc-underwriting
- https://cyberguide.advisenltd.com/cfc-underwriting/
- https://www.cfc.com/en-us/
- https://www.cfc.com/en-us/products/class/transaction-liability/
- https://kbdinsurance.com/blog/get-insurance-cfc-underwriting/
