Every insurer needs to read the research summary ‘Cyber Risk Accumulation: Fully tackling the insurability challenge’ issued by The Geneva Association in November 2023. Even though prudent insurance companies underwrite cyber risk with tightly-defined contract wordings, limited risk-absorbing capacity and requirements for risk management by the insured, this is not enough having regard to the
The buzz about the Internet of Things of a few years ago has died down but the cyber world and its things are becoming increasingly interconnected. When considering insuring cyber risks, insurers must remember it is not only IT (Information Technology) but also OT (Operational Technology) that needs to be evaluated. Hackers know better than
We have been mentioning for some time the pandemic-like risks associated with cyber events. According to a recent Airmic survey cyber rates have risen by as much as 400% for some insureds. Cyber risks are therefore said to be the most likely new risks to be financed by captives.
If a systemic cyber event should
In April 2021 the New York State Department of Financial Services issued a Report on the SolarWinds Cyber Espionage Attack and Institutions’ Response warning that the next great financial crisis could come from a cyberattack because with each passing day our world gets more interconnected.
The report ends with the following passage:
“The SolarWinds Attack
One lesson for insurers from the COVID-19 pandemic is that carefully considered wording for potentially massive losses is essential. Cyber risk can lead to such losses.
Here are links to some of the articles we have written on cyber risk to remind you:
A common response by businesses to the spread of COVID-19 has been to implement measures that require social distancing and remote working. To ensure business continuity, some of these measures rely on the availability of technology like VPN access, as well as the use of online platforms to hold team meetings, client calls, vendor engagement,
A firm of attorneys involved in a property transaction paid R1 744 599.45 into the bank account of a hacker in response to emailed instructions. It was held that the attorneys were liable to the true client to pay this amount for failing to perform their mandate in regard to the trust money with sufficient
The Cyber Risk Management (CyRiM) Report 2019 shows that the economic damage to the world from a concerted global cyber-attack propagated by malicious email could range between $85 billion (least severe) to $193 billion (most severe).
Retail at least could suffer the highest total economic loss globally ($15 billion), followed by healthcare ($10 billion) and
The Department of Justice and Constitutional Development has published responses to the public comments received on the Cybercrimes and Cybersecurity Bill, which was tabled in parliament in February 2017.
The lengthy responses are available here. See our previous post on the major changes to the original draft published for public comment in August
A revised draft of the Cybercrimes and Cybersecurity Bill will be tabled in Parliament in the first quarter of 2017. In a statement issued on 19 January 2017, the Deputy Minister of Justice and Constitutional Development confirmed that the public comments received on the first draft of the Bill published in August 2015 were taken