Following some easy yet efficient cyber security measures can not only help you lower your cyber insurance premium but offer more protection to your data.
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Rising cyber insurance premiums
As a relatively new yet extremely essential coverage, cyber insurance has gradually evolved over the years. It has been rather helpful in mitigating losses because of cybercrimes. However, the increase in incidents of cyber attacks makes cyber insurance an essential investment, especially for businesses. Slowly taking the place among the most sought-after types of insurance, cyber insurance has shown a steep rise in premiums. Let us try to understand what factors affect cyber insurance premiums.
1. There has been an increase in ransomware and data breaches
2. More and more people are using the internet for:
- * Online shopping
- * Entertainment
- * Social media interactions
- * Work from home or hybrid style of working
3. There has been an increase in cyber regulations.
Ways in which you can lower your cyber insurance premium
When you can establish a resilient cybersecurity program, you will be in a better position to reduce your cyber liability. Taking the right measures will allow your insurance provider to see you as a low-risk customer, and you may be offered a discounted price. Not following cybersecurity basics can put you at risk of cyber fraud, making you a liability for your insurance company.
Follow some simple yet effective tips and tricks to cut back on the expenses of cyber insurance premiums.
1. Opt for the right coverage
The first and most important factor affecting your cyber insurance policy premium is the coverage you opt for. You must know that the more coverage you require, the more you’ll have to pay. Your premium will largely depend on the type of insurance policy that you choose. Whether you have a big business or are starting with a small entrepreneurial set-up, you need to have a cyber insurance policy. Depending on your needs, the coverage can include the following. Depending on the insurance policy and the insurance provider, you may be able to customise your coverage.
- * Identity theft
- * Malware attack
- * Phishing
- * IT thefts
- * Cyberstalking
- * Data breach
- * Cyber extortion.
2. Regular testing
Regular penetrating tests will help you identify exploitable angles, and you will be in a stronger position to implement security strategies. When you find the vulnerabilities in the initial stages, you can greatly avert the risk of an unwanted entry.
3. Check website security
It is highly recommended that you pick a reliable and trustworthy partner for your website hosting. As far as possible, go for better plug-in features for the security of your website.
4. Multi-factor authentication
Typically, cyber-attacks begin with the theft of credentials. Traditional ways of just entering a password may no longer work as passwords can be easily hacked and expose all your data. Therefore, it is wise to require the users to provide at least 2 factors to confirm their identification. This verification should be required before one can gain access to an account, network or operating system.
A code sent to another trusted device or account or confirming identity using biometrics such as fingerprint or facial recognition. With a multi-step procedure, you can allow more security than just entering a password.
5. Create a zero-trust architecture
A proactive defence system is key to cyber security. Establish a zero-trust mindset where no one in the team/ office trusts an unknown identity. Though tiresome, continuous permission settings can go a long way in keeping your data safe. Verification should be crucial at every step, especially when it comes to sensitive data and assets.
6. Establish a response plan
Despite taking the most efficient cybersecurity steps, there is no guarantee that there will never be a security breach. However, an effective response plan can help you in minimising the impact of any such fraud or scam.
7. Invest in good applications
The market today may seem flooded with various options. However, you need to choose anti-malware and antivirus applications that are best suited to your business.
8. Always choose a strong password
Having a strong password is a basic requirement when you are using the internet. Did you know you might qualify for a cyber insurance policy if you do not have strong passwords? Generally, it is mandated that you choose a strong password that has a minimum of 8 characters, and there should not be any words that are found in a dictionary. Your password should be a mixture of letters, numbers, and also some special characters.
9. Train your team
Cybersecurity has become a need of the hour. Just about everyone in your office is connected to and through a network, and hackers will rarely miss any weak link. A simple act, like clicking on a suspicious email, can create a ripple effect on your business. Make sure to provide regular updates and training to your team members so that everyone is aware of such threats. An informed and educated team is less likely to fall into the traps of cyber crimes.
10. Talk to your insurance provider
If you already have some other insurance policies from an insurance provider, you can get in touch with the insurance provider. The insurance company may have some options for you to get coverage for your cyber insurance needs. You can get some discounts from them for being a loyal customer.
Let’s Conclude
Over the past few years, cyber crimes have become more rampant and complex. More and more industries are on the lookout for cybersecurity programmes in order to build trust in their new-age users. Cyber warfare does not come with geographical boundaries; everyone everywhere is directly or indirectly at risk. While it is crucial to make the digital infrastructure more secure, it is essential that we adopt proper strategies against losses. With the danger of a cyber breach always hovering over your business, cyber insurance can ensure protection and peace of mind.
Disclaimer: The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.
Disclaimer: No Business Standard Journalist was involved in creation of this content