The Rising Influence of Rising Affluence

[DewDiligence]

Insurers_seek_to_deny_coverage_for MRK cyberattack that_caused_$1.4B_loss:

https://www.wsj.com/articles/insurers-say-cyberattack-that-hit-merck-was-warlike-act-not-covered-11675897657

The costly NotPetya cyberattack, which the U.S. blamed on Russia, should be considered a “cyber nuclear attack,” insurers argued as they urged judges to overturn a legal win by Merck & Co. in a dispute that could have broad ramifications for business insurance.

…The legal dispute between the Rahway, N.J.-based pharmaceutical company and its insurers centers on what is known as a war exclusion, a relatively common clause in many policies that says insurers don’t have to pay out if the loss traces back to warlike hostilities.

...The Merck case has attracted attention, and not just for the amount at stake or because it touches on cyberattacks, a growing risk to businesses of all sizes. The court’s reasoning could also affect how other categorical exclusions are read in the future.