The Fast Track Program for Cyber Insurance has been formally introduced by Kaseya. The IT and security management company has partnered with Cysurance, which will offer MSPs and other partners who use Kaseya’s IT Complete Security Suite up to $1.5 million in cybersecurity insurance coverage. Kaseya partners can offer Cysurance’s coverage to their clients in addition to using it to secure their own businesses.
At the Connect Global conference last month, Fred Voccola, CEO of Kaseya, launched the Cyber Insurance Fast Track Program without mentioning the carrier, stating it had been in development for almost four years. He pointed out that getting cyber insurance coverage is getting tougher, more expensive, and more bureaucratically burdensome. The number of businesses providing cyber insurance is also dropping. Kaseya partners have been asking the firm if there is a way to make the coverage more affordable and simple to get over the past few years.
“So we put our heads together and said, ‘Can we use our weight in the market to provide a benefit to our customers?’” said Mike Puglia, general manager of Kaseya’s Security Suite.
An Easier and Cheaper Process
To make the process easier, Kaseya ensures its qualified partners are certified in the security suite’s Dark Web ID, BullPhish ID, Graphus or SaaS Defense, Datto EDR and RocketCyber Managed SOC modules. Once qualified, partners can access the Fast Track Program directly through the KaseyaOne portal.
“If our customers are using these products, [Cysurance] already knows that they have these controls in place,” Puglia said, referring to the streamlined qualification process. “They know you’re training employees on cybersecurity, that you have phishing protection, endpoint detection, a managed SOC, and somebody with eyes on glass 24/7. That limits the number of questions [Cysurance] has to ask.”
By structuring its policies around the qualifiers, Cysurance can lower its rates to Kaseya partners by 20-30%, Puglia said, adding that Kaseya does not take a fee for offering the coverage.
“We did the heavy lifting so that we’ve made it fast and easy for partners to get coverage at a lower rate without the red tape,” he added.
Cybersecurity Insurance Coverage for MSPs, Customers
The cost of cybersecurity insurance coverage for a typical MSP is about $10,000-$12,000 a year per $1 million of coverage, Puglia said. Under the Fast Track Program, the coverage begins at about $8,000, or 20-30% less, he said. The cost to MSP customers is based on a flat rate depending on the company’s revenue. MSP clients with revenue below $50 million will pay about $1,700 a year for $1.5 million in coverage, while those with revenue between $50 million and $100 million will pay about $2,900 a year, Puglia said.
Unlike some cyber insurance policies that provide piecemeal coverage, the Cysurance offering is more “complete,” Puglia said. It covers business loss, legal liabilities, compliance fines and incident response programs, among other areas.
“It covers the whole gamut of business risk,” Puglia said.