QBE Ventures, the corporate venture capital arm of QBE Insurance Group, is advancing its global cyber insurance efforts through strategic partnerships with cyber-tech startups. Approximately a quarter of QBE Ventures' investment portfolio now comprises deep-tech startups with cyber capabilities, emphasizing an innovation ecosystem approach to support QBE's global cyber value proposition.
Cybercrime poses a significant threat to businesses worldwide, with projected costs reaching $10.5 trillion annually by 2025. According to the World Economic Forum's 2024 figures, 29% of organizations have been materially impacted by a cyber incident in the past year.
James Orchard, CEO of QBE Ventures, highlighted the focus on strengthening QBE’s cyber-tech portfolio to support their global cyber team in delivering integrated and resilience-focused cyber services. This strategy also aims to enable startups to enhance their cybersecurity technology alongside the insurance sector. Orchard stated, “A key focus for the QBE Ventures team is to seek out early-stage startups and investment opportunities where there is the potential to partner during the build process to solve insurance industry challenges and capitalize on new opportunities."
QBE launched its first global cyber product, QCyberProtect, in July across international markets. The product offers tailored coverage for losses from current and emerging cyber risks and is supported by a network of skilled cyber experts and technology capabilities developed through startup partnerships.
Serene Davis, QBE Global Head of Cyber, emphasized that growing cyber breaches and privacy threats are crucial components of risk management globally. She noted that "the cyber-tech ecosystem has come a long way since cyber insurance really kicked off in the early 2000s," adding that business leaders need access to appropriate tools beyond dedicated cybersecurity teams.
Davis further explained that QBE's presence as a global insurer allows it to pilot new technology solutions in different regions, providing opportunities for testing and refining before broader implementation. "For example," she said, "in geographies where we're introducing cyber insurance for the first time, we have a little more flexibility to test and learn."
QBE's ambition as a cyber insurer focuses on using top-tier technology throughout all stages of an event to support business operational resilience. Orchard added that understanding customer needs and leveraging emerging technologies will help differentiate QBE’s offerings over time.
The company has formed strategic partnerships with firms like CYGNVS, illuminr, and Converge to enhance its ability to predict, prevent, and respond effectively to cyber incidents.