NEW LOW EXPOSURE CONTRACTOR PROGRAM

NEW LOW EXPOSURE CONTRACTOR PROGRAM

An exciting innovation is coming to the Trisura Online portal: our new low-exposure contractor program. What does this mean for you? At a glance, it is best-in-class quickness and efficiency. As an experience, it is maximum ease achieved. In practice, it is instantaneous approval for all new submissions that qualify, and more:

1. Streamlined underwriting.

  • Systematic consideration of metrics such as profitability, debt loads, tangible net worth, personal net worth and credit scores, as well as length of time in business

2. Limits provided upon approval.

  • $500,000 single limit
    $1,000,000 aggregate bonded-only limit

3. Annual reporting.

  • Notice to Reader financial statements are acceptable for all accounts

4. Worry-free payment.

  • Clients can easily pay online with a credit card. All transactions are verified and secured.

        While we are still putting the final bells and whistles on our newest enhancement, it does not mean you have to wait to get a head start – send your new submissions to a Trisura underwriter, today.

PEOPLE DO BUSINESS WITH PEOPLE THEY LIKE AND TRUST

PEOPLE DO BUSINESS WITH PEOPLE THEY LIKE AND TRUST

Ten years ago on March 22, 2006, we booked our first ever premium at Trisura. It happened to be for a surety account. Now, admittedly it was a fairly modest sum of $1,501.00 for a similarly modest sized performance and payment bond, but for us, the amounts didn’t matter. It was a beginning, and was hugely rewarding because that small premium represented the culmination of more than 6 months of hard work in getting Trisura licensed, capitalized, incorporated, reinsured, staffed, housed, computerized, named and logoed and in a position to be able to issue bonds and policies. It meant we were open for business. It also meant someone had trusted us with their business. It was a very special day, and the first of many special days to come. A few weeks later in April we issued our first ever professional liability E&O policy and then soon after our first D&O policy.

But that first premium was special. The account was a construction firm that moved to us from one of the largest surety companies operating in Canada and remains one of our flagship accounts today. The brokerage was a significant player and the team there was extremely supportive of what we were hoping to achieve with Trisura. The Obligee on the bond was the City of Brampton and that was significant because, while we had qualified to be included on the Treasury Board list of acceptable sureties in Canada, having the first bond accepted by a major public body was indeed gratifying. It meant we were legit.

That construction firm remains a great company run by exceptional people today, and back in 2006 they had no apparent need to seek an alternative surety. In fact, they had all the choice in the world, as any surety in Canada would have been more than pleased to call them a client. The brokerage also had unlimited choice and they certainly did not need to recommend or support a move to Trisura. But they did. Both chose to take a chance on our fledgling company, and for that we are eternally grateful.

I spoke with the owner of the construction company a few weeks ago on the day of the 10th anniversary of our issuing that very first bond and thanked him for his faith in our company. I asked him why he did it. He answered “because we liked you”. It made me think of the old adage that people do business with people they like and trust. For the most part, I believe that is absolutely true, and would suggest the most valuable lesson anyone can learn in business is precisely that – people do business with people they like and trust.

Trisura exists to create exceptional experiences for our stakeholders because we believe it can be done better. Our core values are all centered on supporting our brokers and your customers in the hopes that we can help you be even more successful. We do this because we are a relationship company, and as in any relationship, we know that in order for us to be successful we need to build our company so that you both like us and trust us with your business.

Fast forward to today and the approximately $570 million in total premium we have written since that first bond way back in March of 2006. That’s a whole lotta liking and a whole lotta trust. We very much appreciate your support and we thank you for the trust you have put in us. We won’t let you down.

TRISURA BUILDS WITH HABITAT FOR HUMANITY

TRISURA BUILDS WITH HABITAT FOR HUMANITY

The Trisura Montreal crew recently volunteered their time to Habitat pour l’humanité (HFHC), to lend a helping hand at the job site.

An important part of Trisura’s workplace culture is to offer employees a chance to step away from the office and their day-to-day activities to take part in a charitable cause.

Habitat pour l’humanité (HFHC) is a non-profit housing organization that mobilize volunteers and community partners to provide affordable housing and promote homeownership as a means to breaking the cycle of poverty.

By owning their own home, families are able to achieve greater stability, and improve their overall health, while building equity for their future.

Trisura continues to be a proud supporter of Habitat for Humanity, and looks forward to future opportunities to collaborate in serving Canadian communities. For more information about how you can get involved in Habitat community projects, visit their website.

DOUBLE BREACH DIMS A ONCE BRIGHT FUTURE: A CLAIMS EXAMPLE

DOUBLE BREACH DIMS A ONCE BRIGHT FUTURE: A CLAIMS EXAMPLE

A mid-sized accounting company operating in eastern Canada, which we will refer to as “Co. East”, had built quite a respectable client list in their 10 year lifespan, getting much of its business through word of mouth, and was anticipating a great 2016.

Two unexpected developments take place that threaten Co. East’s bright future. In order to keep costs down, the company hired interns from the local university. One of the Interns, “Mr. A”, in an attempt to gain favour with his employers, decided to take home a copy of all the company’s client files in order to work on a massive filing project. In his zeal to reorganize the company’s filing system, Mr. A copied all the client files onto a flash drive to take home with him so he can do some of the work after hours, failing to follow company policy about flash drives. He then lost track of the flash drive.

About a week later, Mr. A decided to tell his boss. The boss was livid, because the data was not encrypted, and confused, because of a lack of knowledge on laws governing notice to clients in these types of situations. It wasn’t clear that anyone had opened the client files, or if that would have made a difference. The owner of Co. East does not act, crossing his fingers that nothing will arise from the lost flash drive.

Around the same time, Co. East experienced a hacking incident. An outside third party gained access to Co. East’s system. The owner of Co. East, not knowing what else to do and not sure what information the hackers accessed, retained a systems expert to remediate the company’s computer systems as well as advise as to what documents had been accessed. It is determined that 100 tax returns for various clients had been accessed by the hacker. Co. East’s owner decided to seek legal advice, and is advised to put all affected clients on notice. Counsel also provided advice regarding the lost flash drive, which eventually (and fortunately) ends up being found in the bottom of one of Mr. A’s desk drawers.

Co East’s owner is currently in the process of contemplating whether or not to retain a public relations firm to help him deal with the hit to the company’s reputation. Remediation, legal and notification costs of $75,000 have already been incurred.

Co. East does not have any insurance policy in place that would help cover these costs.

Lessons learned:

  • Privacy breaches are a real risk to businesses in today’s environment. Privacy breaches do not necessarily have to involve a cyber/hacking incident. Lost files or devices are a risk of which companies should be aware.
  • A privacy breach can cost a lot of time, money and can destroy business reputations. The financial impact of a privacy breach can be mitigated by a cyber liability policy which may not only cover the losses incurred by a company to remediate its systems, but may also provide invaluable (and timely) access to advice that will guide an Insured through a breach situation.
  • As part of a reasonable risk-management strategy, companies have to give serious thought to putting a privacy breach response plan into place. A cyber liability policy should also be considered as part of this risk-management breach strategy. Co. East could have avoided its $75,000 lesson had the appropriate policy been in place.

UNDERSTANDING THE COMPONENTS OF CYBER RISK

UNDERSTANDING THE COMPONENTS OF CYBER RISK

BY: TINA McAVELLA

Canadian business leaders are increasingly looking to their IT professionals for assurance that cyber breach risk is adequately controlled. It’s easy to understand the concern, considering data breach incidents dominate the headlines of national publications and insurance-specific journals alike. It’s a harsh reality to accept that security threats are ever evolving, but the real concern is the lack of confidence in existing protective measures for company operating systems.

Consider a recent event in the press. The President/CEO of a large organization found himself in the unfortunate position of hosting a press conference detailing their decision to pay a significant ransom in order to obtain a decryption key to unlock critical systems. His team no doubt had to consider the alternative and the potential for disruption to their business, destruction of data or the need for system restoration.

This real life scenario highlights one insurable component of a cyber threat, but also prompts consideration of what the outcome might have been if the organization in question did not respond to the ransom request. This level of uncertainty gives rise to the interest in insurance-based risk transfer solutions.

The current market for insurance solutions varies in terms of scope of coverage. At Trisura, our Technology and stand-alone Cyber Liability solutions are broad in nature. Insureds have the ability to build a program from a suite of coverages that address various components of their risk. For example, the Network Extortion Threat is one coverage in the suite that serves to address the extortion of funds in return for a decryption code or other such resolution of a threat to systems and/or files.

Many business leaders downplay the likelihood and potential impact of a cyber-breach, mistaken in their thinking that they are somehow less exposed because they don’t collect personally identifiable customer information. It’s a reality that housing personal information isn’t the only feature of a network that makes it a target to hacking and potential ransom demands. Most organizations have business-critical applications that if corrupted, can expose them to irreparable damages to both brand and business, the later in the form of interruption.

Most organizations would not know how to begin to quickly assess the pros and cons of responding to a ransom request. Seeking out external advice slows down the process and increases the possibility of missing a payment window. When faced with an extortion threat, a call to Trisura triggers services that will help an insured navigate resolution and ensure indemnification of an extortion payment within the terms of the contract.This is our commitment as we believe in creating exceptional experiences for our brokers and their customers – even in extra-ordinary circumstances – because we believe the business can be done better.