Cyence International

Cyence, founded in 2014 by Arvind Parthasarathi and George Ng, developed a data science and risk analytics platform to quantify the financial impact of cyber risks. The company's software combines large-scale data collection, machine learning, and economic modeling to help property and casualty (P&C) insurers underwrite and price what it termed "21st century risks," such as cyber threats, reputation damage, and new forms of business interruption. These emerging risks often lack the extensive historical claims data that insurers typically rely on for analysis and pricing.

The platform was designed to assist insurers in various functions, including product management, actuarial analysis, underwriting, and enterprise risk management. It enables them to prospect for new business, select and price risks, and manage portfolio accumulations. The initial focus was on cyber risk due to significant demand from the insurance industry. In 2016, Cyence raised $40 million in a single funding round from investors including New Enterprise Associates, IVP, and Dowling Capital Partners.

In October 2017, Guidewire Software, a major provider of software for the P&C insurance industry, announced its acquisition of Cyence for approximately $275 million in cash and stock. The acquisition, which closed in November 2017, integrated Cyence's data listening and risk analytics capabilities into Guidewire's offerings, allowing Guidewire to expand into modeling for emerging risks beyond its traditional focus on core operations and data management. Following the acquisition, Cyence's CEO, Arvind Parthasarathi, became a senior vice president at Guidewire to lead the Cyence Risk Analytics division. Keywords: cyber risk modeling, risk analytics, insurance technology, insurtech, data science, machine learning, P&C insurance, underwriting software, risk assessment, financial impact of cyber risk, Guidewire, emerging risks, reputational risk, business interruption, portfolio risk management, actuarial software, data collection, economic modeling, cyber insurance, risk quantification