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Real Estate

Full Spectrum Cyber: Real Estate Risks

The Key Exposures Facing Real Estate Risks

Attractive to Cyber Criminals

The real estate industry is an attractive target for cyber criminals due to the high frequency of transactions, market interconnectivity and regularity of information sharing. These risks are particularly ripe for eCrime attacks such as social engineering, funds transfer fraud, or fraudulent instruction.

Operational Disruptions

Increased reliance on technology leaves the real estate industry vulnerable to operational disruptions that not only cause significant revenue loss but can have a negative impact on reputation. A system outage may disrupt closings, listings, mortgage processing and title work. This exposure is amplified due to the time sensitive nature of real estate transactions

Sensitive Data and Financial Information Stored and Shared Online

Real estate operations involve the safeguarding and managing of customer financial assets in electronic form. If the proper protections are not in place, cyber criminals can access this data online for theft, ransom and financial gain.

How our specialist coverages respond to the threats facing real estate firms:

  1. Specialized Subsidiary Coverage: broad scope for Real Estate Investment Trusts (REITs), Joint Ventures (JVs) and other Single Purpose Vehicles or Entities (SPVs/SPEs) established during real estate transactions.
  2. eCrime: £250,000 sublimit available for Fraudulent Instructions, Funds Transfer Fraud, Telephone Fraud and Invoice Manipulation Coverage.
  3. Artificial Intelligence/Deep Fake Coverage: enhanced Fraudulent Instruction endorsement clarifies that the policy will cover Fraudulent Instructions that result from some of the innovative ways that criminals are employing AI including deep fakes.
  4. Missed Bid Loss Coverage for Contractors/Developers: coverage available if new business proposals can’t be submitted due to a security breach that interrupts operations.
  5. Broad definition of Dependent Business Interruption: as a third-party entity that provides necessary products and services to the Insured Organisation pursuant to a written contract.

Responsive Cyber

How Beazley Security helped real estate clients get back in the game

For more on suggestions to reduce risk and our appetite for Real Estate firms, download the PDF.

Speak to your local Underwriter to see which of your clients can benefit from our Real Estate endorsement.