Cyber insurance is a no-brainer for big companies that are privy to an abundance of sensitive information. They have the personal details of their clients as well as business-sensitive information that could be detrimental should it fall into the wrong hands. On a personal level, however, people seem to be less inclined to take out cyber insurance. Technology makes our lives a lot more convenient in many ways. We can now order groceries online, make appointments, and RSVP to webinars and online events. All these interactions include an exchange of personal information. Credit card details here, ID numbers there. Cybercriminals are aware of this increase in personal data being exchanged. Times of India reported that cybercrime has increased threefold between the years 2019 and 2020 in India alone. In a response to the increased exchange of digital information, businesses are doing their part in an attempt to keep personal information safe by executing guidelines, firewalls, and security checks (like two-factor authentication). This, however, does not mean that individuals aren’t responsible for safeguarding their own data.
Think about cyber insurance as any other form of insurance. You insure your car despite your intention to take good care of it. We get it to protect us against unforeseen events like reckless drivers, bad weather, obstructions in the road, etc. Cyber insurance is the same. With the increased use of information comes increased attempts to steal that information. Cybercrime has become quite advanced and becomes increasingly difficult to put a stop to. Naturally, education and awareness of cyber attacks can help prevent them but cyber insurance can be a valuable tool to protect you against things like identity theft, financial losses, and fraud.
Sometimes these misgivings aren’t even your fault. Breach Watch, a service that monitors the use of your personal data has notified clients that several large companies’ security measures have been violated. These data breaches have affected companies including but not limited to Uber, United Airlines, U-Haul, and The North Face. Cybercriminals are often on the lookout for Personally Identifiable Information (PPI - such as dates of birth, ID numbers, contact information, etc.) and when breaching large companies like those mentioned prior, they could potentially gain access to your sensitive personal information. PPI makes it possible for cybercriminals to open accounts under another name, incur debt, and sell forged documents such as IDs and passports. It is, therefore, important to protect yourself against such risks.
We would argue that cyber insurance is a must. As discussed, the selling of your personal information can be just as unpredictable as other risks you have insurance against. If you would like to get in touch with a broker to enquire about the advantages of taking out cyber insurance, use the chat function to the right of the screen. One of our agents will be in touch shortly!
Times of India: https://timesofindia.indiatimes.com/blogs/voices/cyber-insurance-for-individuals-should-i-get-it/
Breach Watch: https://www.keepersecurity.com/free-data-breach-scan.html?utm_source=braze&utm_medium=email&utm_campaign=breachwatch-9.23&breachwatch=true&storage=none&year_term=1
Search Security: https://www.techtarget.com/searchsecurity/definition/personally-identifiable-information-PII
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