The need to have Cyber Insurance
While everything is getting online, the dangers in the digital world are also increasing significantly. So to protect businesses and human beings from different online frauds, new methods are also coming out in the market. One such method is cyber insurance.
Cyber insurance was introduced in the market with the motive of protecting customers from any kind of digital fraud or data breach. So when your company's data is facing a cyber-attack, then you're not destroyed as there is insurance to provide you with crucial support. Till 2014, 90% of the total amount of cyber insurance premiums covered American vulnerability.
What do cyber insurance policies cover?
To know about the need for cyber insurance, first, let's discuss what cyber insurance covers -
Cost of investigating a cybercrime: When your company becomes a victim of cybercrime, you should get help from cyber security. So when you hire someone to investigate that cyber crime, the cost will be fully borne by the insurance company.
Recovering data lost from a security breach: When you face a security breach and lose your data to the attacker, then the insurance companies hold the responsibility of helping you to recover that data.
Notifying customers about data breaches: While you're managing a business with large datasets then, you may not get awarded a minor data breach. But the cyber insurance company will be there to notify you about the data breach.
Repairing damaged computer systems: The computer systems of your company can get destroyed after facing a severe cyber attack, and the responsibility of repairing it belongs to the insurance company.
How does cyber insurance work?
There are different policies around cyber insurance that are supplied by other cyber insurance companies. The majority of policies include first-party coverage, which is applicable to losses that directly affect a business, and third-party coverage, which is applicable to losses incurred by third parties as a result of a cyber event or incident based on their commercial relationship with a covered entity.
Some set of rules that you need to follow to get cyber insurance -
You will have to claim for the insurance within 90 days.
Evidence of loss must be submitted to the company.
Investigator comes from the company to verify the claim.
Who needs cyber insurance?
If you have a business that's connected with a significant customer base and you have to keep track of different customer data for further business developments, then, it's vital to get cyber insurance to safeguard the data of your customers. And even if your company faces any problem, cyber insurance will help to keep the reputation.
Companies that provide cyber insurance in India:
There are different cyber insurance providing companies in India. Some of the renowned companies that offer cyber insurance in India are -
HDFC ergo
Bajaj Allianz
SBI general
Cyber insurance is essential for customer-oriented internet businesses today's date. While cyber crimes are increasing, you can keep your company a bit safe because of cyber insurance.
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