SecureData, one of Europe’s Largest Independent Security Services Provider has discovered in a survey that the fear of cyber attacks is surging up the ‘Cyber Insurance Buy’ from business operating across the UK to cover the mounting losses.
“Cyber attacks are coming thick and fast as the tools of the hackers are getting sophisticated. And this is creating a mad rush to buy cyber insurance out of panic”, warns Char Van Der Walt, a senior researcher at SecureData.
The stated trend is said to be kicking businesses of all sizes to seek out a minimum cybersecurity investment laid out by insurers, government, and regulators; to protect their IT assets and customers data.
Initially, companies operating across the UK were seen stockpiling bitcoins or other cryptocurrency variants as ransomware hush money. But now, they are making a move towards insurance companies to help them up against all losses related to cyber threats.
Furthermore, the European Union’s General Data Protection Regulation(GDPR) which came into force in May last year, says that companies which are cyber attack will be prosecuted and fined up to 4% of their annual turnover or 20 million pounds for keeping their IT assets exposed to hackers.
Thus the fear of the law enforcement imposing a fine is also making companies’ line up before businesses offering cyber insurance.
Consequently, it’s perhaps little surprise that the interest in cyber insurance from business entities has spiked up in recent times.
Lloyd Finance of London recently disclosed that the current trend has made the policies number leap to 70 from 8 when compared to 2015. And Insurance Giant Allianz predicts that the global cyber insurance premiums will grow to $20 billion by 2025, up from around $3-$4billion now.
Hiscox, one of the renowned insurers in the UK said it has been enjoying the robust growth in its cyber insurance business, following the TalkTalk data Breach and the latest GDPR approaches.
So, to all those who are in the business of offering ‘cyber Insurance’, its merry time folks!
