Philadelphia Insurance Cos. has become the second homeowners insurer in less than a week to confirm that it is working with law enforcement following a cyber incident that shut down its systems.
The insurer, a subsidiary of Tokio Marine, reported it discovered unauthorized access to its network late on June 9 after its IT team detected suspicious activity. In response, the company said it “proactively disconnected affected systems” to contain the incident.
Philadelphia Insurance said in a statement that it is working around the clock to restore services, including online applications, email systems, and phones. “A forensic investigation is ongoing, and we have notified law enforcement,” the company said.
The disruption follows a similar event at Erie Insurance, which reported network irregularities on June 7. Erie also took immediate action to secure its systems and is now coordinating with law enforcement and cybersecurity experts. In a statement, Erie said it is making “strong and steady progress” as it works to restore access for customers, agents, and employees.
“We’re confident in our actions, but this work is complex and takes time,” Erie said.
Erie continues to provide service through local agents and by phone. Philadelphia Insurance policyholders also have access to claims and customer service by phone while digital systems remain offline.
The incidents underscore a growing concern across the insurance sector about the vulnerability of operational networks.
Both companies are urging policyholders to avoid releasing personal information in response to unsolicited communications and to contact the insurers directly through verified channels.
In 2024, Erie ranked as the 11th-largest US homeowners multiperil insurer with $3.33 billion in direct premiums written, accounting for 1.93% of the market, according to BestLink. Tokio Marine’s US property/casualty group, which includes Philadelphia Insurance, ranked 15th with $1.67 billion in direct premiums written and a 0.97% market share.
Philadelphia Insurance’s parent company, Tokio Marine Holdings Inc., holds a Best’s financial strength rating ranging from A++ (Superior) to A- (Excellent). Erie Insurance Exchange’s operating entities are currently rated A+ (Superior).
Shares of Erie Indemnity Co. (NASDAQ: ERIE) traded at $361.29 as of the afternoon of June 16, up 1.27% from the previous close.
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