The LMA Political Risk, Credit and Financial Contingency Committee has published a further model cyber clause (in addition to LMA5408):

LMA5427 Political Risk Cyber Endorsement (for use with Political Risk/Political Violence Package Business)

As with all LMA model clauses, it is purely illustrative and is distributed for the guidance of LMA members, who are free to agree to different conditions or amend as they see fit. This endorsement is available on the Lloyd’s Wordings Repository (LWR), which can be accessed via www.lloydswordings.com.

LMA5408 was published in March 2020 for use in affirming cyber coverage, subject to existing terms and conditions, in contract frustration, credit and financial guarantee insurance where appropriate.

LMA5427 has been developed for use with Political Risk/Political Violence (PR/PV) package business. The new clause seeks to clarify the provision of cyber coverage for PR risks (subject to existing terms and conditions), whilst maintaining the exclusion of cyber coverage for PV risks. 

Any queries regarding this clause should be referred to the LMA.

Contacts 

David Powell
Head of Non-Marine Underwriting 
david.powell@lmalloyds.com

Alison Colver
Head of Contract Wordings
alison.colver@lmalloyds.com