Johannesburg, 02 Sep 2020
Forward-thinking business insurance providers are rallying corporate cyber security into their offerings to lower clients’ risk exposure and prevent claims. This has gained traction over the past three months as COVID-19-related cyber scams have increased.
Cyber threats have exploded during the COVID-19 pandemic, with recent statistics showing a 10-fold increase in attacks on digital networks in South Africa since President Cyril Ramaphosa declared a national state of disaster on 15 March 2020. [1] Most attacks on companies are financially motivated, and with South Africa ranking 8th in the world in recipients of malicious e-mails in May 2020, cyber risk management should not be taken lightly. [2]
Charl Ueckermann, CEO of AVeS Cyber Security, says insurance providers are reaching out to IT security experts to tailor solutions that incorporate proactive cyber security tools to help lower the risk of attacks on their clients.
“Providing cyber insurance alone is not always enough. With internet-related theft and fraud increasing, cyber security interventions are a necessary part of risk management. The more proactive and predictive you are about managing cyber risks, the lower the client’s risk exposure will be, and the less likely they are to be attacked and carry the losses. It makes sense to incentivise policyholders to take appropriate actions to reduce cyber risks for themselves and the insurer. For policyholders, a lower risk profile translates into lower business insurance costs. So, it is a win-win situation.”
Lana Ross, Chief Operating Officer for commercial insurance at Discovery Insure, the front-runner in incorporating cyber security as an integral part of its business insurance solutions, says: “While cyber threats are not new, the sheer volume, complexity and cost of attacks are unprecedented. We are resolving this issue by offering enhanced solutions to help clients protect their businesses against increased cyber risk exposure. Qualifying clients get embedded cyber cover at no additional cost for 12 months. Clients who sign up between 1 July and 31 December 2020 can also get Kaspersky Security for Microsoft Office 365 at no additional cost for the first six months for all their computers. In addition, qualifying clients will get this security package at no additional cost for an extended period of 12 months for five users.”
“It is important for business insurance clients to have access to technologies that help them adapt to new ways of working because of the COVID-19 lockdown, as well as dedicated IT support services to help resolve IT issues quickly and avoid interruptions to their business. We give our clients access to digital services such online e-mail and virtual conferencing apps to enable them to work from home. Clients can get access to these digital services at no additional cost for the first six months. They also get access to a dedicated IT support desk at no additional cost until 31 December 2020. These services are supported by our cyber security partner, AVeS Cyber Security, who are recognised experts in providing cyber security services to the insurance industry for over 22 years,” adds Ross.
Ueckermann adds that leading insurance brokers recognise the value of cyber insurance and the added benefits of including cyber security solutions as part of it.
“It is vital that brokers understand cyber security as an integral part of cyber insurance offerings. Insurance providers that offer cyber security benefits deliver a more holistic solution to protect their clients and lower their risk exposure.”
He concludes: “Cyber criminals are having a field day amid the COVID-19 crisis. Phishing, ransomware, cyber theft and fraud are all on the rise. Insurance providers should look at the problem holistically and tackle the problem proactively by building in remediation through IT security products as well as cyber threat awareness for their clients.”
References:
- Merwe, P. v. (2020, 03 25). unprecedented-spike-in-cyber-attacks-hits-sa-since-declaration-of-national-disaster. Retrieved from Businesslive: https://www.businesslive.co.za/bd/ national/2020-03-25-unprecedented-spike-in-cyber-attacks-hits-sa-since-declaration-of-national-disaster/
- Goldstuck, A. (2020, 03 24). arthur-goldstuck-cyber-criminals-go-into-lockdown-too. Retrieved from Businesslive: https://www.businesslive.co.za/bt/opinion/2020-05-24-arthur-goldstuck-cyber-criminals-go-into-lockdown-too/
Share
AVeS Cyber Security
AVeS Cyber Security is a specialist in industry-specific IT Governance & Architectural services, combining expert knowledge and services with leading technology products to provide comprehensive Information Security and Advanced IT Infrastructure solutions. Over the past 22-years, AVeS Cyber Security has strategically honed its solutions and services to help Southern African businesses future-proof their IT environments against the continually evolving threat landscape while achieving their digital transformation aspirations. The company offers a leading portfolio of professional services, products, and training in security, infrastructure, and governance solutions. In 2019 and 2020, the company won six awards from some of the world’s top technology vendors, indicating competency, strength, innovation and robustness in an industry that is fast growing in complexity due to evolving challenges, such as ransomware, advanced targeted attacks and the Internet of Things. The awards include Kaspersky's Africa Partner of the Year 2019 and 2020, Kaspersky's Top META Learning Partner 2020, ESET's Regional SMB Sales Champion 2019, ESET's Product Champion 2019, and Symantec's SMB Partner of the Year 2019. AVeS Cyber Security also received four new partner statuses, namely, Microsoft Gold Datacentre Partner, DellEMC Gold Partner, Veeam Silver partner and Sophos Platinum partner.