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How DataStream Cyber Insurance Turned The Cyber Pandemic Into A
Triple-Win Partnership
During the pandemic , watching cyber-attacks destroy businesses , particularly small businesses , deeply concerned DataStream co-founders Andy Anderson and Max Henderson .
“ There was this alphabet soup of security , cybersecurity frameworks , complicated technologies , and complex insurance policies ,” Larry Meador , DataStream ’ s Channel Chief , explained . “ Nontechnical business owners were easily confused . Cyber insurance is much different from other insurance products because of the complexities and technology . People were trying to solve the problem by adding their technology to their home insurance policy . Insurance companies didn ’ t understand the risks associated with cyber incidents , and when they started having to pay out , they said , ‘ Whoa , we need to rethink this .’ The technology side wasn ’ t talking to the insurance companies , and the insurance regulators weren ’ t talking to the technology companies .”
The duo came up with the idea of bringing the insurance and tech industries together to work on helping solve the challenges of cyberrisk . “ Historically , insurance has worked together with technology to reduce risk ,” Meador said . “ And they could see how critical the managed service provider ( MSP ) community was in keeping our entire economy moving .”
Launching DataStream Cyber Insurance in July 2020 , Anderson and Henderson took this extremely complicated problem and made it simple and easy for everyone involved to tackle by creating a partnership that delivers wins for small-business owners , MSPs / MSSPs , and insurance providers .
The MSSPs helped insurance carriers understand the complexities of cyber incidents , which helped insurance companies put a stop to losing their shirts paying out on cyber incidents . Being able to structure cyber insurance policies better , insurance companies improved protection by requiring business owners to do things to reduce their risk . MSPs and MSSPs win because their clients , in order to qualify for cyber insurance , are implementing the cybersecurity and compliance technology they ’ ve tried to get their clients to do for years . Small businesses are winning , too . Now , they can sleep at night knowing they have cyber and compliance protections in place AND the safety net of insurance in the event a cyber incident happens .
Today , DataStream is one of the fastest-growing cyber insurance organizations in the world . Backed by a multibillion-dollar insurance partner , DataStream provides broad coverage for first-party and third-party losses , including breach , ransomware , cybercrime , cyber terrorism , and risk analysis tools . They also educate business owners , help reduce risk , and support MSPs and MSSPs .
Rapidly Accelerating Cybersecurity Spend
Utilizing data science , artificial intelligence , and machine learning , DataStream analyzes 3,000-plus risk factors that over 40 different insurance carriers use to determine the options businesses have for cyber insurance . “ We can do this within 30 minutes ,” Meador said . “ We explain terms and make recommendations on which policy is best for their individual business .” Risk factors also help identify what clients need to do to meet insurance requirements and minimize risk before they apply for coverage , which helps clients avoid being denied . Plus , DataStream ’ s analysis often reinforces the recommendations MSPs and MSSPs already made to their customers , which rapidly speeds up customers ' willingness to invest in cybersecurity measures .
“ Things like getting multifactor authentication ( MFA ) are often met with resistance ,” Meador said . “ When MSPs bring us into the conversation , we get to tell their customer that they should listen to their MSP because they know what they are talking about . Without MFA , they are almost uninsurable .”
How DataStream Is Attracting MSP Partners
An important component to DataStream ’ s success is working in partnership with MSPs and MSSPs . This is why one of Meador ' s first steps after starting with DataStream in December 2021 was to reach out to TMT about becoming a sponsor . Meador worked with TMT in his previous roles at CNET Content Solutions and GreenLink Networks . “ We participated in Robin Robins ’ Big Boot Camp ,” Meador said . “ I remember thinking , ‘ Wow , she ’ s got something going on here . This
Larry Meador , Channel Chief , DataStream Cyber Insurance
4 Big Red Media | A TMT Company