Cyber Insurance on the Rise Due to Increase in Cyber Attacks
Cybercrime is a rapidly growing threat in our modern society. More and more companies and individuals are taking out cyber insurance to protect themselves against data leaks, ransomware and online fraud. What exactly do these insurance policies offer, and why are they more important than ever?
The number of cyber attacks is increasing worldwide, with a 30% increase in the Netherlands in 2023. Ransomware attacks, in which hackers demand ransoms in exchange for unlocking systems, are a major problem. Cyber insurance often not only covers ransom costs, but also provides legal support, IT experts and crisis management.
For private individuals, cyber insurance policies provide coverage against identity theft, online fraud and hacking of smart devices. Premiums vary depending on coverage and risk profiles. Companies often must demonstrate that they have basic security in place, such as firewalls and antivirus software, to qualify.
An important trend is for insurers to offer proactive services, such as security advice and monitoring of suspicious activities. This helps customers prevent attacks instead of just reacting after an incident.
- Assess your risks: What data is most vulnerable, and how important is it to you or your business?
- Improve your security: Insurers reward customers with discounts if they take good preventive measures.
- Read the terms: Some cyber insurance policies have exclusions for negligence or inadequate security.
- Consider additional services: Ask about monitoring services or backup systems that insurers may offer.
In a world where cyber threats continue to increase, cyber insurance is becoming increasingly a necessity. It not only offers financial security, but also support in repairing damage.
