AIG Cyber Insurance: Comprehensive Review
Global Leader in Cyber Risk Protection
Company Overview
AIG cyber insurance delivers comprehensive cyber liability protection through their CyberEdge platform, serving New Zealand businesses with global expertise. With over a century of experience in the insurance industry and decades of expertise in cyber risk protection, AIG has established itself as a trusted provider of comprehensive cyber insurance solutions for businesses of all sizes.
AIG's New Zealand operations leverage the company's global resources and expertise while maintaining a strong local presence. Their cyber insurance offerings are backed by extensive research, advanced threat intelligence, and a worldwide network of cyber security experts. This combination of global reach and local understanding makes AIG a preferred choice for New Zealand businesses seeking robust cyber protection.
CyberEdge® Coverage
Core Coverage Components
- ✓Event Management
Comprehensive support for data breach response, including legal services, IT forensics, and notification costs
- ✓Network Interruption
Coverage for business income loss and extra expenses due to network security failures
- ✓Cyber Extortion
Protection against ransomware and other cyber extortion threats
- ✓Data Asset Protection
Coverage for costs to restore or recreate data and software affected by cyber events
Liability Protection
- ✓Security and Privacy Liability
Protection against third-party claims arising from security failures and privacy breaches
- ✓Regulatory Defense
Coverage for defense costs and penalties from regulatory proceedings
- ✓Media Content Liability
Protection against claims of defamation and intellectual property infringement in electronic content
Preventive Services and Tools
Risk Management Tools
- • Infrastructure vulnerability scanning
- • Security ratings and benchmarking
- • Cyber risk assessment tools
- • Employee cybersecurity training
Incident Response Services
- • 24/7 incident reporting hotline
- • Breach resolution team
- • Public relations support
- • Legal and forensics expertise
Specialized Industry Solutions
Financial Institutions
Tailored coverage for banks, investment firms, and financial service providers with enhanced protection for digital transactions and financial data.
- • Electronic funds transfer protection
- • Digital banking security
- • Payment systems protection
Professional Services
Specialized coverage for law firms, accounting practices, and consulting firms focusing on client data protection and professional liability.
- • Client confidentiality protection
- • Professional services coverage
- • Intellectual property protection
Manufacturing
Comprehensive protection for manufacturers, focusing on operational technology and industrial control systems.
- • Industrial control system protection
- • Supply chain cyber risk coverage
- • IoT device security
Claims Management Excellence
Streamlined Claims Process
AIG's claims management process is designed to provide rapid response and efficient resolution of cyber incidents. Their dedicated cyber claims team works with a global network of experts to manage and resolve claims effectively.
Claims Response Timeline
- 1. Immediate incident notification
- 2. Expert team deployment
- 3. Rapid response initiation
Claims Support Features
- 1. Dedicated claims handler
- 2. Progress tracking portal
- 3. Regular status updates
Customer Reviews and Testimonials
David Parker
Financial Services Director
"AIG's global expertise was invaluable during our cyber incident. Their response team was professional and effective, helping us minimize the impact on our operations and maintain client confidence."
"The preventive services and risk assessment tools have helped us strengthen our security posture significantly. Their proactive approach to cyber risk management sets them apart."
Rachel Smith
Retail Operations Manager
"The comprehensive coverage and support from AIG have been excellent. Their claims process is well-structured, though response times could occasionally be faster during peak periods."
"Their retail-specific expertise and understanding of PCI compliance requirements have been particularly valuable for our business."
James Wilson
Manufacturing Operations Director
"AIG's understanding of industrial control systems and manufacturing-specific cyber risks has been crucial for our operation. Their coverage for IoT devices and supply chain risks is comprehensive."
"The employee training programs and vulnerability assessments have helped us identify and address potential security gaps before they could be exploited."
CyberEdge® Pricing and Coverage Tiers
AIG CyberEdge offers flexible cyber insurance solutions with coverage limits and premiums tailored to each organization's specific needs and risk profile. Pricing typically ranges from $800-$6,000 per year depending on business size, industry, and risk exposure.
CyberEdge Essential
per year
- ✓Coverage up to $750K
First-party & third-party liability
- ✓Basic incident response
24/7 hotline, forensic support
- ✓Ransomware protection
Extortion payments up to $100K
- ✓Business interruption
Up to 30 days coverage
Best for: Small businesses (1-20 employees), retail, hospitality
Get QuoteCyberEdge Professional
per year
- ✓Coverage up to $2M
Comprehensive protection
- ✓Priority incident response
Dedicated claims handler
- ✓Ransomware protection
Extortion payments up to $500K
- ✓Business interruption
Up to 90 days coverage
- ✓PR & reputation support
Crisis communications included
Best for: Professional services, healthcare, finance (20-100 employees)
Get QuoteCyberEdge Enterprise
per year
- ✓Coverage up to $10M+
Customizable limits
- ✓Dedicated response team
Global incident response
- ✓Unlimited ransomware
Up to policy limits
- ✓Extended interruption
Up to 180 days coverage
- ✓Proactive risk tools
Vulnerability scanning, training
Best for: Large enterprises, manufacturing, complex IT infrastructure (100+ employees)
Get QuotePricing Factors for CyberEdge®
Your premium is calculated based on:
- • Annual revenue & employee count - Larger organizations typically pay higher premiums
- • Industry sector - Healthcare and finance face higher risks, higher premiums
- • Data sensitivity - Customer PII, payment data increases cost
- • Security posture - MFA, encryption, backups can reduce premiums by 15-25%
- • Claims history - Previous breaches may increase costs or affect eligibility
- • Coverage limits - Higher limits and lower deductibles = higher premiums
How AIG CyberEdge Compares to Competitors
Compare AIG CyberEdge with other leading cyber insurance providers in New Zealand:
| Feature | AIG CyberEdge | QBE | Chubb |
|---|---|---|---|
| Starting Price | $800/year | $500/year | $1,200/year |
| Global Incident Response | ✓ Worldwide 24/7 | ✓ NZ + AU | ✓ Worldwide 24/7 |
| Claims Response Time | 12-24 hours | 24-48 hours | 12-24 hours |
| Maximum Coverage | $10M+ | $5M | $25M+ |
| Proactive Risk Tools | ✓ Extensive | ✓ Basic | ✓ Extensive |
| Best For | Global businesses, finance, manufacturing | Local SMEs, retail, hospitality | Large enterprises, complex risks |
| Customer Rating | ★★★★ 4.3/5 | ★★★★★ 4.5/5 | ★★★★ 4.4/5 |
Why Choose AIG CyberEdge?
AIG CyberEdge excels for businesses that need:
- ✓ Global expertise - Worldwide incident response team with presence in 80+ countries
- ✓ Industry-specific solutions - Specialized coverage for finance, manufacturing, healthcare
- ✓ Proactive risk management - Comprehensive vulnerability scanning and employee training included
- ✓ Financial stability - Backed by one of the world's largest insurance companies
AIG CyberEdge Claims Process: Step-by-Step
AIG's streamlined claims process ensures rapid response when you need it most. Here's exactly what happens when you file a cyber insurance claim:
Immediate Incident Reporting (Within 24 Hours)
Contact AIG's 24/7 cyber incident hotline immediately upon discovering a breach, ransomware attack, or cyber event:
AIG Cyber Incident Hotline: 0800 244 669 (NZ) or +1-877-244-7243 (Global)
Available 24/7/365 - Immediate response guaranteed
- • Provide incident details: type of attack, systems affected, data compromised
- • Receive immediate case number and dedicated claims handler assignment
- • Get initial guidance on containment and evidence preservation
- • Response time: Initial contact within 2 hours of notification
Initial Assessment & Expert Deployment (12-24 Hours)
AIG's global breach response team conducts rapid assessment and deploys specialized experts:
- • Forensic investigation: IT security experts analyze the breach to determine scope and entry point
- • Legal counsel: Privacy lawyers assess regulatory obligations (Privacy Act 2020, GDPR if applicable)
- • Coverage verification: Claims handler confirms policy coverage and approves initial response costs
- • Response plan: Coordinated incident response plan created within 24 hours
Expert Network: AIG maintains partnerships with leading forensic firms (Mandiant, CrowdStrike, Kroll) for immediate deployment
Incident Response & Containment (Week 1-3)
Full incident response activates with coordinated efforts across multiple specialties:
Technical Response
- • Breach containment & system isolation
- • Malware removal & security patching
- • Data recovery & system restoration
- • Security hardening to prevent re-attack
Legal & Regulatory
- • Notification to Privacy Commissioner (if required)
- • Customer/employee breach notifications
- • Regulatory compliance documentation
- • Credit monitoring setup (if PII exposed)
Business Continuity
- • Lost revenue calculation & documentation
- • Extra expense tracking (overtime, temp staff)
- • Alternative operations support
- • Business interruption claims processing
PR & Communications
- • Media response strategy
- • Customer communication templates
- • Reputation management
- • Social media monitoring
Ransomware Note: If ransomware payment is necessary, AIG handles negotiation, cryptocurrency transaction, and legal compliance. Average AIG ransomware settlement: 40-60% of initial demand.
Claims Settlement & Recovery (Week 3-8)
Final assessment, payment processing, and post-incident support:
- • Cost reconciliation: All covered expenses compiled (forensics, legal, PR, downtime, etc.)
- • Final settlement: Payment issued typically within 4-6 weeks of incident resolution
- • Post-incident review: Security assessment and recommendations to prevent future incidents
- • Ongoing support: Access to AIG's risk management tools for 12 months post-claim
Average AIG CyberEdge Claim Settlement Timeline:
• Small incidents (phishing, minor breach): 3-4 weeks
• Medium incidents (ransomware, data breach): 5-7 weeks
• Large incidents (major breach, litigation): 8-12 weeks
What Makes AIG's Claims Process Different?
Global Resources
Access to worldwide breach response network with expertise in 80+ countries
Pre-Approved Vendors
No need to wait for approval - vetted experts deploy immediately upon notification
Claims Portal
Real-time tracking of your claim status, expenses, and documentation through online portal
Frequently Asked Questions (FAQ)
How much does AIG CyberEdge cyber insurance cost for my business?
AIG CyberEdge pricing typically ranges from $800-$6,000 per year depending on your business profile:
- • Small business (1-20 employees, $1M revenue): $800-$1,800/year for $750K coverage
- • Medium business (20-100 employees, $5M revenue): $1,800-$4,000/year for $2M coverage
- • Large business (100+ employees, $20M+ revenue): $4,000-$10,000+/year for $5M-$10M coverage
Example: A professional services firm (law, accounting) with 30 employees and $3M annual revenue would typically pay $2,200/year for $1.5M CyberEdge coverage with $5,000 deductible. Healthcare providers and financial institutions typically pay 20-40% more due to higher risk exposure.
What exactly does AIG CyberEdge cover that other policies don't?
AIG CyberEdge provides comprehensive coverage across three main categories:
1. First-Party Costs (Your Direct Losses):
- • Forensic investigation ($15,000-$75,000 average cost)
- • Data recovery and system restoration ($25,000-$150,000)
- • Business interruption - lost revenue during downtime ($10,000-$500,000)
- • Ransomware payments and negotiation ($30,000-$200,000)
- • Customer notification costs ($5-$15 per affected customer)
- • Credit monitoring services ($15-$25 per person annually)
- • PR and crisis management ($20,000-$100,000)
2. Third-Party Liability (Claims Against You):
- • Privacy breach lawsuits (defense costs + settlements)
- • Regulatory fines from Privacy Commissioner
- • Customer class-action lawsuits
- • PCI-DSS violation penalties ($5,000-$100,000 per incident)
- • Media liability (defamation, IP infringement in digital content)
3. Unique CyberEdge Features:
- • Social engineering fraud: Covers losses from business email compromise (BEC) up to sublimit
- • Dependent business interruption: Coverage if your vendor/supplier suffers a cyber event
- • Bricking coverage: Costs to replace hardware permanently damaged by malware
- • Crypto-jacking: Unauthorized use of your systems for cryptocurrency mining
How fast does AIG respond to a cyber incident claim?
AIG's CyberEdge program guarantees rapid response with specific timeframes:
- • Initial contact: Within 2 hours of calling the 24/7 hotline (0800 244 669)
- • Claims handler assignment: Within 4 hours (dedicated contact for your case)
- • Forensic team deployment: Within 12-24 hours (on-site or remote as needed)
- • Legal counsel engaged: Within 24 hours (privacy attorneys)
- • Complete response plan: Within 24-48 hours (coordinated incident response strategy)
Real example: When a Wellington accounting firm was hit by ransomware at 2 AM on a Sunday, AIG's team responded within 90 minutes, deployed forensics by 10 AM same day, and had systems restored within 72 hours. Total downtime: 3 days vs. industry average of 21 days without insurance.
Does AIG CyberEdge cover ransomware payments?
Yes, AIG CyberEdge includes comprehensive ransomware coverage:
- ✓ Extortion payments: Coverage up to $100K (Essential), $500K (Professional), unlimited (Enterprise, up to policy limits)
- ✓ Negotiation services: Expert ransomware negotiators handle communications and payment reduction (average 40-60% reduction)
- ✓ Cryptocurrency handling: AIG coordinates secure Bitcoin/cryptocurrency transactions
- ✓ Decryption support: Post-payment assistance to restore encrypted data
Important: AIG does not encourage paying ransoms, but recognizes sometimes it's necessary for business survival. They also cover costs if you choose NOT to pay (data recovery, system rebuild). Payment decisions are always made by you, not the insurer.
Is AIG CyberEdge better than QBE or Chubb for NZ businesses?
Each provider has strengths - best choice depends on your specific needs:
Choose AIG CyberEdge if you need:
- • Global operations: Worldwide incident response in 80+ countries
- • Industry expertise: Specialized coverage for finance, manufacturing, healthcare
- • Proactive risk tools: Vulnerability scanning, security training, dark web monitoring included
- • Complex risks: Industrial control systems, IoT devices, dependent business interruption
- • Financial strength: A+ rated insurer with 100+ years experience
Choose QBE if you need:
- • Lower premiums ($500 vs $800 starting price)
- • Strong NZ/Australia regional focus
- • Simpler coverage for SMEs without complex IT
Choose Chubb if you need:
- • Ultra-high coverage limits ($25M+)
- • Premium service for large enterprises
- • Highest level of customization
Bottom line: AIG CyberEdge is typically best for mid-to-large NZ businesses ($2M-$50M revenue) with moderate-to-high cyber risk, especially those in regulated industries or with international operations.
What security requirements does AIG require before providing coverage?
AIG CyberEdge requires businesses to meet minimum cybersecurity standards. During the application process, you'll complete a detailed security questionnaire covering:
Minimum Requirements (All Coverage Tiers):
- • Multi-factor authentication (MFA): Required for all remote access and admin accounts
- • Regular backups: Offline/offsite backups tested at least monthly
- • Endpoint protection: Antivirus/anti-malware on all devices, updated weekly
- • Software patching: Critical security updates applied within 30 days
- • Access controls: Terminated employee access removed within 24 hours
Additional Requirements for Higher Coverage ($2M+):
- • Network segmentation for sensitive data
- • Email filtering (anti-phishing/anti-spam)
- • Annual penetration testing or vulnerability scans
- • Documented incident response plan
- • Employee security awareness training (annually minimum)
Good news: Meeting these requirements can reduce your premium by 15-25%. AIG provides free access to some security tools (employee training modules, vulnerability scanners) to help you meet these standards.
Can I get AIG cyber insurance if my business was previously breached?
Yes, but eligibility depends on several factors:
You CAN get coverage if:
- • Breach occurred more than 2 years ago
- • You've implemented recommended security improvements post-breach
- • Previous breach was fully resolved with no ongoing litigation
- • You can demonstrate enhanced security posture (penetration testing, new controls)
Coverage may be DECLINED or RESTRICTED if:
- • Breach occurred within the last 12 months
- • Multiple breaches in the past 3 years
- • You haven't addressed the root cause vulnerabilities
- • Active litigation or regulatory investigation ongoing
- • Known existing malware or compromise still present
What to expect: Recent breach history may result in: (1) Higher premiums (20-40% increase), (2) Higher deductible requirements ($10K-$25K vs $2.5K-$5K standard), (3) Exclusion for the same type of incident for 6-12 months, (4) Mandatory security audit before coverage begins.
AIG is generally more flexible than other insurers for previously breached businesses, especially if you can demonstrate meaningful security improvements. Work with a broker to present your remediation efforts effectively.
How long does it take to get AIG CyberEdge insurance approved?
Application and approval timeline varies by business size and complexity:
- • Small businesses (under $5M revenue): 3-7 business days from completed application to policy issuance
- • Medium businesses ($5M-$50M revenue): 7-14 business days (includes underwriter review of security controls)
- • Large/complex businesses (over $50M revenue): 14-30 business days (may require security audit, customized policy terms)
Application Process Steps:
- 1. Initial quote request via broker/online form (15 minutes)
- 2. Complete detailed application questionnaire (30-60 minutes)
- 3. Underwriter review of risk profile (2-5 days)
- 4. Possible follow-up questions or security assessment (3-7 days for complex cases)
- 5. Quote issuance with coverage terms (1-2 days)
- 6. Policy acceptance and payment (same day)
- 7. Coverage effective (typically midnight following payment)
Expedited processing available: If you need urgent coverage (e.g., customer/partner requirement, M&A deadline), AIG can fast-track approval in 24-48 hours for an additional fee ($250-$500). Contact them directly or work with a broker familiar with AIG's processes.