At Coalition we are building a new kind of insurance company that protects businesses against emerging digital risks, while empowering brokers to offer their clients the best coverage and proactive protection. Coalition is excited to announce new executive risks insurance products powered by our proprietary data platform to protect the leaders of small and midsize businesses.
When Coalition was founded in 2017, our goal was to solve cyber risk with a data-driven approach to underwriting, comprehensive insurance, active monitoring solutions for policyholders, and integrated incident response and claims. Our approach is working, and today we protect more than 130,000 organizations.
Brokers and policyholders often ask us, “When will you do for other risks what you did for cyber?” We’re committed to helping businesses protect themselves from emerging digital risks, and we’re excited to start with executive risks as our first product line beyond cyber insurance.
Executive Risks hasn’t changed much in the past 20 years with tedious paper forms, long back-and-forth exchanges between brokers and underwriters, and static underwriting that doesn’t capture real-time changes to businesses and their exposures. Coalition’s executive risk broker platform utilizes real-time financial, regulatory, and transactional data to generate bindable D&O and EPL quotes in minutes, creating a seamless quoting experience for brokers. We also provide brokers with tools such as coverage comparisons, limits calculators, and other educational materials to help them elevate their advisory capabilities for their clients.
The past 18 months have made it clear that businesses face entirely new kinds of digital risks. The global COVID-19 pandemic, the rapid transition to remote work, and acceleration of digital transformation have exposed entirely new kinds of risks faced by businesses and the executives who lead them. Executives now must navigate remote hiring and onboarding, pandemic-related layoffs, and a complex regulatory environment and changes around the pandemic, to name just a few new risks. With our executive risks products, we’re excited to offer small businesses the best protection from these new risks.
With capacity provided by Zurich North America (A+ rating from A.M. Best), Coalition is now offering Directors & Officers (D&O) and Employment Practices Liability (EPL) insurance, furthering its breadth of offerings to protect businesses against modern risks. Coalition’s D&O and EPL products offer coverage for small businesses up to $250 million in assets with limits offered up to $5 million.
In a survey of 1,000 senior executives at small businesses, Coalition found that nearly a third of small business executives didn’t purchase management liability coverage because they didn’t realize coverage was available for them. The impact of executive liability can be catastrophic for small businesses, with the average D&O lawsuit costing over $120,000.
I’m excited to introduce our team of dedicated underwriters, who bring deep expertise with an average of over 15 years underwriting management liability and crime. Prior to Coalition, we all saw the challenges that underwriters and brokers faced including an onerous and outdated broker submission process, leaving at risk accounts unattended and solutions unexplored.
What we found at Coalition was the ideal intersection of technology, security, and insurance. By utilizing a data-driven approach to streamline the online broker experience and providing access to risk management tools that make a difference in the broker and policyholder relationship, Coalition has effectively elevated the quoting and binding process. Last year, Coalition reviewed more than 60,000 cyber submissions, and we have the capacity for many more than that, leaving no submission unattended.
We’re excited to launch early access to our executive risks product, and will open up to the broader brokerage community in the beginning of 2022. If you’re interested in signing up for early access, click here! We’re excited to work with you to bring a new approach to executive risks.