The need to get yourself Cyber Insurance
As the cyber insurance market continues to grow, it’s only natural to discuss its role in the battle against ransomware, which has been a prevalent topic in recent months, and other cyber-attacks.
Most discussions highlight its value as a risk mitigation tool and its ability to respond to fast-evolving cyber threats, including ransomware. Recently viewpoints have emerged that cyber insurance has served as an incentive for cyber extortion attacks. The truth is that ransomware attacks occur for one reason only: criminals are succeeding.
Cyber insurance can be a valuable tool in the fight against ransomware and other cyber threats. Fulfilling its traditional role, cyber insurance pools the insured that are similarly at risk to spread their potential losses.
Beyond its specific purpose in thwarting ransomware attacks, cyber insurance is valuable for other reasons. The insurance underwriting process raises awareness of cyber threats, identifies how companies should be responding, and educates insureds.
After an attack, cyber insurance serves as a mechanism for convening the right team of experts, including legal counsel and computer forensic analysts, to assess the incident and recommend a response in a timely fashion.
Cyber insurance is a valuable component in a larger risk management strategy, which includes technology as well as training, education, and testing. To combat ransomware, companies still need to teach employees how to recognise threats, patch regularly, limit user privileges, and establish sufficient cyber hygiene to avoid being an easy target.
Companies are fighting hackers on an unbalanced playing field, where defense is much harder than offense, and cyber insurance has proven to be a valuable partner in that fight.