LONDON (Reuters) – Insurer Beazley said on Tuesday it had no plans to alter its guidance in the wake of Friday’s global IT glitch, which crashed an estimated 8.5 million Windows-operated devices, crippling transport systems and impacting financial markets.
“Given the unprecedented nature of this event and Beazley’s position as a leading cyber insurer, the company has elected to provide an update on its position in relation to the outage.”
“Based on what is known at this point, the event will not change the current undiscounted combined ratio guidance oflow-80s for the full year,” Beazley said in a statement.
The company said it will update the market on its first half performance on August 8 and will provide any further relevant updates in relation to this event at that time.
Beazley’s shares, which have risen by around 25% year to date, closed down 3.3% on Friday, amid some concern the specialist insurer could see a surge in business interruption claims following the incident.
But CrowdStrike Holdings, the cybersecurity firm at the heart of the mass outage, said the issues were due to a faulty systems update rather than a malicious attack.
Beazley’s cyber insurance book accounted for around one-fifth of its gross premiums in its 2023 full year, Jefferies said in a note to clients on Friday.
The analysts said they saw “limited risk” to the company’s special capital returns in 2024, and had forecast a $400 million buyback for the year.
(Reporting By Sinead Cruise; Editing by Amanda Cooper)
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