a QuIck guide to technology & communications InsIght n TIO FOr a clearer A Ic understanding OF corporate risk comm gy & OLO Techn

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1 A QUICK GUIDE TO TECHNOLOGY & COMMUNICATIONS INSIGHT FOR A CLEARER UNDERSTANDING OF CORPORATE RISK THE VALUE OF Technology & Communications insight

2 Industry Insight Key RISKS As an established provider of Professional Indemnity, Property and Casualty covers we have the ideal credentials to understand and serve the dynamic world of Technology & Communications customers lots of benefits that will click with your customers The key risks in Technology & Communications SUPPLY CHAIN In this industry, the challenges of managing an increasingly complex network of suppliers can threaten business resilience. We understand how critical a supply chain is to a Technology & Communications company and how disruptive interruptions can be if a supplier cannot deliver. PRODUCT RECALL Product recalls are increasing as consumer awareness is rising, legislative requirements become more stringent, supply chains more complex and contractual conditions more onerous. High profile recall cases have also added to customer concerns and fuelled demand. BRAND REPUTATION The value of a brand and its industry reputation is an essential part of any business. Mismanaged exposure can cost your customers money. Negative exposure within the press can severely damage the value of a brand and its reputation resulting in loss of revenue, loss of customer confidence and shareholder value. KEY PEOPLE The success of a business can be dependent on the key people who work there. Replacing expertise can be time consuming and costly. GLOBAL SOLUTIONS In a world of globalisation, UK domiciled Communication & Technology companies are increasingly expanding their presence into overseas territories as they seek sustainable growth through new revenue streams and operational efficiencies. Expansion into Europe and beyond brings increased requirements to their business insurance program to ensure both adequate protection of property and people, and compliance with local legal licensing and insurer foreign premium tax (FPT). MERGERS & ACQUISITIONS Customers undergoing mergers, acquisitions, divestitures or restructuring will need insurance solutions to ensure a smooth process.

3 Insurance Insight COVER AND VALUE Automatically included as standard: Property Damage Offsite Prototype cover 10,000 Limit Trace & Access 25,000 Limit Metal Work Extension 250,000 Limit Business Interruption Research & Development 50,000 Limit Unspecified Suppliers (UK) 100,000 Limit Unspecified Customers (UK) 100,000 Limit Essential Personnel 20,000 Limit Public Utilities 100,000 Limit Property Stored 50,000 Limit Prevention of Access 50,000 Limit Blended Technology A combination of PI, EL and PPL covers in one policy wording. Product Liability First Party Product Recall - 100,000 Limit Disaster Recovery Our disaster recovery suppliers get companies back up and running quickly after an insured loss by finding alternative office space and setting up phone and internet connections to local networks as quickly as possible. Risk Management Advice Line Free, practical advice on risk management topics such as property, security, business continuity, environmental, food hygiene and health and safety, to help you proactively identify and manage issues before they occur. Optional Property Damage BI overseas customers and suppliers extension Goods in Transit for Prototypes Exhibition Expenses Optional Business Interruption Cover at higher levels is available Additional relevant covers and services: Brand Protection Automatically included where Property and/ or Casualty are purchased. This helps your customers to manage their reputation following a major loss in excess of 1 million under the Property and/or Casualty covers 50,000 Limit. THE VALUE OF Technology & Communications insight Risk Insight Wider risk-related expertise Value Added Services By passing on value across the risk spectrum, we can give you and your Technology & Communications customers a broader understanding of their risk profiles. Some services are in-house, some are provided by our partners who are leaders in their fields. All of them give you added insight to help you win and safeguard customers. Zurich services: Risk Management Consultancy Supply Chain Full Product Recall Mergers & Acquisitions Multinational Insurance Wider risk related services: Legal Services Loss Adjusters & Claims Management Environmental Services Plant & Machinery Valuers

4 KEY TRADES we re focusing on We ve focused on specific groups of Technology & Communications trades where we want to grow our presence. 1 Hardware Manufacture of computers, hardware equipment, professional/arcade games and toys Wholesale of computers, software and peripheral equipment Electronic Components Manufacture of electronic components, switches, connectors and chips Manufacture of electricity and control apparatus, wiring devices, fibre optic cables and loaded electronic boards UK firms 2877* 2 Robotics Manufacture of process control equipment and engineering design for process control equipment Manufacture of robots for industrial use Manufacturing and configuration of control panels and developers/writers of process control software UK firms 25* 3 Outsourcing Data warehousing/storage, computer consultancy advice on system requirements (hardware and software) and consultancy project management, web design and web/data hosting Business process/data processing services and SAAS (Software As A Service) provision and computer facilities management Private training, contract staff supply, equipment rental and leasing Installation of electronic equipment, apparatus and computer machinery Repair and maintenance of electronic equipment, apparatus and computer machinery UK firms 1780*

5 4 Electronic Communication Manufacture of electronic and telecommunications equipment, reseller of electronic and telecommunications equipment, airtime provision and telecommunications network maintenance Data network management and support services, virtual network operators, network operators and BSS/OSS (Business/Operational Support Systems) Internet service provider, internet access provider, dial up internet access provision, repair of communications equipment and central office switching equipment Transmission of media including television/radio programmes, distribution of media including television/radio programmes, satellite communication activities and music downloads UK firms 6643* 5 Software Distributors of third party software, package writers including business and domestic software Customisation and tailoring of software, bespoke made to order software and SCADA (Supervisory Control and Data Acquisitions) Electronic industrial process control software, CAD/ CAM (Computer Aided Design/Manufacturing) systems, PKI (Public Key Infrastructure), leisure and entertainment software and web portals UK firms 879* *approximately

6 What is the profile of a well managed risk? In General: We recognise that every customer is different but in terms of a good risk profile customers should be able and willing to: Demonstrate an active approach to Corporate Governance by instituting mechanisms that give them confidence that all risk issues to the business are being identified, monitored and addressed Show a proactive approach to risk issues by their structure and by their reporting mechanisms Illustrate a systematic approach to risk issues, based on the adoption of a management systems approach, and the implementation of best practicein risk control methodologies Seek a long term relationship with an insurer who will partner the business in risk control issues For Casualty Risk: A Company that has in place the right culture and structure to manage liability risks as effectively as possible, for present risks and future potential issues Where the Company adopts a management systems approach to Health and Safety and incorporates best practice into their control arrangements A Company who adopts a systems based approach to product safety and to environmental risk based on the implementation of best practice in risk controls A Company that has an appreciation of the legal climate in which they operate and the wish to partner with an insurer who brings new insights into the mitigation of business risk For Property Risk: A property which is of non-combustible construction, has low to medium flood hazard and has a low to medium inception hazard and limited development hazard A company with a proactive risk management approach, which is well managed and protected demonstrating good business resilience and continuity planning A company enjoying good supply chain relationships FOR FURTHER INSIGHT INTO TECHNOLOGY & COMMUNICATIONS BUSINESS AND HOW WE CAN SAFEGUARD IT TOGETHER, TALK TO YOUR LOCAL CORPORATE UNDERWRITER, visit zurich.co.uk/broker or follow UKGI CHA Zurich Insurance plc Zurich Insurance plc, a public limited company incorporated in Ireland. Registration No Registered Office: Zurich House, Ballsbridge Park, Dublin 4, Ireland. UK Branch registered in England and Wales Registration No. BR7985. UK Branch Head Office: The Zurich Centre, 3000 Parkway, Whiteley, Fareham, Hampshire PO15 7JZ. Zurich Insurance plc is authorised by the Central Bank of Ireland and subject to limited regulation by the Financial Conduct Authority. Details about the extent of our regulation by the Financial Conduct Authority are available from us on request. These details can be checked on the FCA s Financial Services Register via their website or by contacting them on Our FCA Firm Reference Number is Communications may be recorded or monitored to improve our services and for security and regulatory purposes. Copyright Zurich Insurance plc All rights reserved. Reproduction, adaptation, or translation without prior written permission is prohibited except as allowed under copyright laws.