We made the decision to first launch with a surplus lines product because it allowed us to introduce new, innovative, and market-leading coverages, provided you with the ability to tailor it to your needs, and was the best path to solving complex cyber risk requiring quick adaptation and flexibility.
With the early launch of our admitted product, we are still committed to helping you solve cyber risk, however there are some differences in what we are able to offer.
The admitted product includes:
- Breach Response Services - these are Coalition's risk mitigation services provided to you when you're facing an incident or potential incident. This is offered on all quotes, outside the limits, and with $0 retention.
- Coverage for privacy action brought against you by the Securities and Exchange Commission (SEC). Note that this is available by endorsement on our surplus lines product but built into the base form on our admitted product.
There are a number of coverages available on our surplus lines policy that are not available in our admitted product. Most notably, we're currently unable to offer the following endorsements:
- Breach response separate limits
- Technology errors & omission coverage
- Reputational harm loss
- Service fraud
- Criminal reward coverage
- Court attendance costs
- GDPR enhancement
UPDATE: All of the enhancements above (with the exception of Technology errors & omissions) are now available on an admitted basis in the following states (34): AL, AR, AZ, CA, CO, CT, DC, DE, HI, IA, ID, IL, IN, MD, MI, MN, MS, NC, NE, NH, NJ, NM, NV, NY, OR, PA, RI, SC, SD, TN, TX, UT, WI, WV. We will continue to update you as we receive state approvals.
Note that any custom or manuscript changes on our surplus lines policy are also unavailable in the admitted market.
There is typically a delay between the innovations offered by surplus lines and admitted products. We expect this to continue to be the case as we introduce new policy language, coverage enhancements, and unique ways to deliver value to your clients, while working hard with regulators to bridge this gap.
However and most importantly, no matter what you decide, Coalition remains you and your dedicated clients' risk management partner. Whether purchasing an admitted or surplus lines product, our risk mitigation apps, tools, and services will be at your disposal.
Both products will also have the financial backing of Swiss Re Corporate Solutions* (A+ rated by A.M. Best). Our surplus lines product is further backed by Argo Pro US** (A+/A ratings by A.M. Best).
*Insurance products may be underwritten by North American Specialty Insurance Company, or an affiliated company, which are members of Swiss Re Corporate Solutions.
**Insurance products may be underwritten by Peleus Insurance Company, Colony Specialty Insurance Company, or an affiliated company, which are members of Argo Group US, Inc.