Report: Bankers Expect Rising Premiums for Cyber, FIB, Property Insurance

Results from ABA’s 2015 Bank Insurance Survey Report show that bankers expect most of their insurance premiums to remain the same or, in some cases, decrease for the next renewal cycle. Most banks saw estimated premiums rise for cybersecurity, property insurance and financial institution bond policies, among others. Nearly seven in 10 expect their cyber insurance estimated premiums to go up. The most commonly given reasons for the anticipated premium hike were increased risk, bank growth and the need for broader or additional coverage.

The survey found that more than 90 percent of banks carried FIB, property, worker’s compensation and employer’s liability, auto and umbrella liability policies, while at least 80 percent of banks carried general liability, cyber, fiduciary liability, employment practices liability, kidnap and extortion, directors’ and officers’ liability and professional liability policies.

The newly released report — now on sale — contains more than 80 tables to provide a comprehensive overview of banks’ corporate insurance coverage. With data summarized by eight different asset size groups (from less than $250 million to more than $50 billion), the report offers bank CEOs, CROs, CFOs and other executives access to segmented, actionable information about insurance coverage, risk management and budgeting for their banks.