FW: Anderson Automotive Group LLC -- Excess Cyber -- 4/1

 

 

From: Navalkar, Sanjeev <SNavalkar@archinsurance.com> 
Sent: Monday, March 24, 2025 2:24 PM
To: SubmissionsMPL <SubmissionsMPL@archinsurance.com>
Cc: Navalkar, Sanjeev <SNavalkar@archinsurance.com>
Subject: FW: Anderson Automotive Group LLC -- Excess Cyber -- 4/1

 

Dear Clearance Team, 

Please clear the submission shown below. Here are key fields for your awareness:

 

1.	Business Unit - Sub Division: Cyber (Section: Cyber)
2.	Coverage: Network Security & Privacy Liability
3.	Layer: Excess

------------

Special Instructions (delays processing):

 

Sanjeev Navalkar

snavalkar@archinsurance.com <mailto:snavalkar@archinsurance.com>  | www.archinsurance.com <http://www.archinsurance.com/> 

Mobile: 404-229-7113

 

 

From: brock.bannister@rtspecialty.com <mailto:brock.bannister@rtspecialty.com>  <brock.bannister@rtspecialty.com <mailto:brock.bannister@rtspecialty.com> > 
Sent: Monday, March 24, 2025 2:05 PM
To: Navalkar, Sanjeev <SNavalkar@archinsurance.com <mailto:SNavalkar@archinsurance.com> >
Cc: Arch Clearance <ArchClearance@archinsurance.com <mailto:ArchClearance@archinsurance.com> >
Subject: Anderson Automotive Group LLC -- Excess Cyber -- 4/1

 

CAUTION: External email. 


Sanjeev,

We received this submission from a new agent about 30 minutes ago and are looking to turn around excess terms ASAP. The excess limits requested are new limits (vs. replacing existing excess limits).

Policyholder is an auto dealer group based in Raleigh, NC that did $1.92 billion in revenues ($260.8 million in gross profit after removing cost of cars).

This is one (of many) auto dealer groups that had a large BI loss in 2024 due to the CDK outage. If you are not familiar with the CDK outage, this article does a good job of summarizing it (https://www.techtarget.com/whatis/feature/The-CDK-Global-outage-Explaining-how-it-happened <https://url.us.m.mimecastprotect.com/s/YbbPCzpEg9IkjPk4hKsBU9ZK7B?domain=techtarget.com> ).

We are looking for excess cyber limit options of $2M, $3M and $5M. Need you to follow all cyber coverages that are $5M and be $250k x $250k on all cyber crime coverages (including invoice manipulation aka Vendor or Client Payment Fraud by endorsement).

Cyber portion of Travelers premium is $163,456. It's hard to put a target on pricing considering the prior loss, but my two cents is that the client recognized how close they came to running out of limit as a result of the CDK loss, so if the excess limits are not punitively priced then I think they'll pull the trigger on them. However, that may mean an aggressive ILF because the current cyber premium is inflated by that loss. I don't know how this was priced prior to the CDK event, but I have a similarly-sized auto dealer in NC as well that many of you quoted around $90 - $95k last year for the primary $5M x $100k retention, so that provides some context on the primary pricing on this one.

Let me know your thoughts ASAP on this one. Thanks.

Brock Bannister
Senior Vice President
RT ProExec
13024 Ballantyne Corporate Place, Suite 400, Charlotte, NC 28277
770-686-1330
brock.bannister@rtspecialty.com <mailto:brock.bannister@rtspecialty.com> 
CA License No. 4271361
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