Variety in Cyber: How can uncertainty in cyber policies be eradicated?

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Perhaps the most talked about British Insurance Law Association event of the last five years was the cyber mock trial in 2011, put on jointly with the Professional Liability Underwriting Society.

The impetus behind the event was that cyber insurance was relatively new to the London market and there was no established body of decided case law to act as a guide on how cyber wording - which varied considerably in terms of both drafting approach and coverage breadth - might be interpreted.

Three years on, there remains a large degree of variation between wordings and as yet little standardisation. This contrast with professional indemnity wordings for many specialisms where minimum terms apply.

Disputes can arise even on the best drafted wordings, but clarity of meaning and accurate drafting remains the best way to eliminate uncertainty and litigation.