Cyber Clauses for use on Directors’ and Officers’ Business

To notify interested parties that, in order to satisfy Lloyd’s Bulletin Y5277 – Providing clarity for Lloyd’s customers on coverage for cyber exposures, the LMA Directors’ and Officers’ Business Panel has published the following model clauses:

LMA5471 - Cyber Risks Endorsement (for attachment to Directors’ and Officers’ forms)

For use on the majority of policies, A Side/A Side DIC/AB and ABC covers, where Side C is Securities Entity cover.

LMA5472 - Cyber Risks Endorsement - Entity Coverage Forms (for attachment to Directors’ and Officers’ forms)

For use on those policies that offer “Full Entity/Corporate liability” type cover. The intention is not to give full cyber cover to the entity, this should be done by a specific Cyber policy. Where policies may give “Full Entity” cover and Securities Entity cover, members can use this endorsement as a framework to amend to fit their own policy wordings.

As with all LMA model clauses, these clauses are purely illustrative and are distributed for the guidance of LMA members, who are free to agree to different conditions or amend as they see fit. These clauses are available on the Lloyd’s Wordings Repository (LWR), which can be accessed via www.lloydswordings.com. Any queries regarding the content of this Bulletin should be referred to the LMA.

Tony Ellwood
Senior Technical Executive, Underwriting
Tony.Ellwood@lmalloyds.com

Alison Colver
Head of Contract Wordings, Underwriting
Alison.Colver@lmalloyds.com