The Right Way to Do Cybersecurity Insurance
on January 31, 2020
Let’s be real: cyber-risk is larger than ever. And while more and more companies are prioritizing cybersecurity needs, they’re discovering along the way that they don’t know the size of their own risk. Sizing your cyber-risk, not to mention the threat, can be a daunting task. Back-stop financial covers have been the common solution, but many companies still have a right to be worried about claim denials and policy loopholes.
Cyber insurance doesn’t work in the same ways as auto or home insurance. There are dynamic factors and debilitating risks that need to be considered on a customer-specific level. Keep on reading through this blog to discover a better way to eliminate cyber-risk, and how Measured can help.
Why Customer-Specific Ransomware protection is Necessary
Ransomware attacks cost businesses more than $75 billion per year. In 2019, an organization fell victim to ransomware every 14 seconds. Does that scare you? Well, that number is predicted to grow to every 11 seconds by 2021. 1.5 million new phishing sites are created every month, with attacked increased over 97 percent in the past two years.
The problem with cybersecurity is the difficulty in predicting, quantifying, and responding to the threat of Ransomware. And the results of this problem have run rampant in recent years. The world has seen 10 million-dollar virtual ransoms. Hospitals and healthcare companies have fell victim and human lives were put at risk. 18 million mobile malware instances were reported in 2018.
The problem isn’t going away. And we have to do something about it.
There is A Better Way to Measure Cyber-Risk
Here’s what most cyber insurance providers do today: ask you a few questions, probably about your revenue and industry. There’s usually not a lot of details or hard digging. Feels like something’s missing, right?
The thing with insurance risk modeling is that you have to break it into two parts: frequency and severity. And the best way to learn about these two factors is by diving into available company data on security posture and outcomes. This is where Measured does things differently. We can leverage careful data collection, our deep connections with cyber security experts, and thoughtful risk modeling to resolve cybersecurity issues. At the end of the day, we can then provide real-time insight into the magnitude and likelihood of your company’s cyber risk.
We Need an Integrated Ecosystem of Solution Partners
Typical cyber insurance products provide coverage for a multitude of risks that involve malware, computer viruses, spyware, cookies, worms, trojans and other malicious entities. However, the emergence of Ransomware has changed the landscape for the entire cyber security industry. The more and more people that know about ransomware attack risk, the more and more people learn about the inadequacy of insurance carriers and their ability to address this new and growing problem.
But there’s no need to panic yet. Measured Insurance has designed its proprietary Ransomware Insurance product specifically to limit exposure to ransomware attacks. We do this by incorporating both first-and-third-party coverages into one policy that is tailored specifically to each customer by using an integrated AI-based exposure quantification process. The Measured approach is not to compete against traditional cyber insurance markets, but to provide you and your company with the highest level of protection possible.
Getting Results Back to The Board, Executive Teams, and Customers
Corporate Boards of Directors have heard it all when it comes to cybersecurity matters in recent years. In fact, it’s becoming common practice to appoint at least one person with “deep cyber risk management expertise” into these boards. It’s expected that these people will be, essentially, a “translation layer” between the board and large cybersecurity decision making.
There is worry that boards are becoming saturated with cybersecurity information and endless solutions that may or may not work. This is where the recent rise of Ransomware attacks come in. They make the stakes super high, and the ears of the governing boards super keen. And we can help make sure these issues are properly addressed.
How Measured Insurance Can Help
When it comes to cybersecurity risk, there’s not much time to waste. Measured is here to help. We are proud to back up our claims with data and facts, so that our customers feel confident their receiving the personalized, strong coverage they deserve. Here are the specific services we offer:
- Team Experience & Expertise – Real-time system analysis & identification of ransomware attack damages & implications.
- Ransomware Attack Strategic Advisory – Expert advisory on damage assessment and incident response recommendations.
- Panel of Experts – Diversified resolution team that incorporates global experts in Ransomware assessment, ransom negotiations & payment, cyber legal counsel, forensic accounting, public relations & brand restoration, regulatory implications & negotiations.
- Ransomware Post-Event Remediation – Expert advice regarding post-event restoration of impaired services and directives to thwart future exposure.
Cybersecurity insurance doesn’t have to be daunting or overwhelming. It just has to be Measured.