Inigo Launches New Fraud Cover Product

Inigo Limited (“Inigo”) the specialty insurer, has launched a new product to provide top up cover on financial fraud policies. The product, called Inigo Crime Excess, is an excess DIC/DIL policy designed to sit excess of traditional US bond policies, providing top up cover for standard crime clauses, whilst dropping down to cover social engineering fraud losses and digital asset losses from the primary or in excess of any sub-limits already provided for.

This launch responds to the growing threat of social engineering fraud, a form of fraud that manipulates individuals into revealing sensitive information or to perform actions that compromise security. According to the UK Government’s Cyber Security Breaches Survey 2024, 58% of large businesses have experienced a cyber-attack in the last 12 months, with phishing being the most common, at 84% of cases.  AI has significantly expanded the threat landscape, enhancing the realism and scale of social engineering attacks, with new key risks including the automation of phishing campaigns, the use of AI-generated media to bypass security, and the exploitation of vast data sets to tailor attacks to specific targets.

Whilst many more businesses are taking out cyber insurance, there is clear need for more appropriate types of insurance to cover the changing nature of financial crime, which has been traditionally served by US bond policies. The benefits of this new product include:

• DIC/DIL excess layer with broader cover to include social engineering fraud cover for the full layer limit
• Social engineering cover is untested/unverified
• Optional inclusion of Digital Asset loss
• Allows the insured to retain consistency of primary carrier
• Market leading Claims handling
• Insured is able to keep their existing Bond forms without having to take on a completely new policy wording
• Lloyd’s security and Capacity – financial strength of AA-
• Global licensing: Lloyd’s license provides cover in over 200 territories worldwide

Leading this new product, Tom Falkner, Underwriter, commented, “With the rise in cybercrime, particularly AI-driven social engineering fraud, many business leaders are rightly concerned. However, traditional coverage in the US often falls short of addressing these evolving risks. To bridge this gap, we’ve developed a flexible, complementary solution that enhances protection against emerging financial fraud and digital asset loss, which can work seamlessly alongside existing policies.”