It’s no secret that the cyber risk landscape has exploded during the Covid-19 period. Our blog post and podcast interview last year with top cyber security specialists highlighted how cyber attacks, especially low-level cyber attacks were on the rise as a result of everyone working from home.
How did that affect the insurance market? I guess no surprises that the claims department of cyber insurers have been busy, especially dealing with ransomware attacks. Ransomware-as-a-service is a real thing and evidenced by the surge in attacks on all sorts of businesses including SMEs. So much so that the underwriters are now having to rethink their cyber insurance strategy for the market.
Cyber insurance up to this point has been relatively easy to get. You only really need to declare that you have certain controls and risk management practices in place. We however suspect that in the near future, declaring these statements will not be enough. Insurers will want proof that you actually have controls in place. They will demand to see pen testing results, proof that you follow MAS Technology Risk Management frameworks etc. It may even be that cyber risks are no longer insurable because the risks are just too high!
What does this mean for you now as a business owner or a CTO? It means that you should be taking advantage of the situation and getting protection now whilst it is relatively easy and affordable. Once you are insured and on the insurers’ portfolio, it will be much easier to renew a policy in 12 months’ time rather than trying to take out a policy from scratch. Also, if you ever get into any cyber incidents and want to take out a policy after that, note that there will be more hoops to jump through in order to get insured. So the message here is get in early to be safe than sorry,
How can Anapi help? Get in touch with us to discuss the type of company you are, and we can navigate the market in Singapore to help you get the necessary cover easily.
