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I'm surprised companies don't buy insurance against this. I could very easily see insurance companies offering a new product. Pay us $25,000 a year, for a 5 mil
by bern4444 5y ago
I'm surprised companies don't buy insurance against this. I could very easily see insurance companies offering a new product. Pay us $25,000 a year, for a 5 million liability. Or 50,000 a year for a 10 million dollar liability shield etc.
Insurance companies can then develop their own methods to better determine premiums for companies based on measures they take.
Companies can then decide how much risk to take in choosing not to invest in cyber security for their operations based on the cost of their premiums.
If this is an insurance option that currently exists, perhaps more companies will begin paying for it.
- ben509 5y agoSometimes it can be covered by business owner's policy[1], but there are specifc policies covering cyber extortion, e.g. [2] [3]. As you suggested, they are generally paired with risk management. [1]: https://www.investopedia.com/terms/business-owners-policy.asp https://www.investopedia.com/terms/business-owners-policy.as... [2]: https://www.thebalancesmb.com/insuring-against-ransomware-and-other-cyber-extortion-4060470 https://www.thebalancesmb.com/insuring-against-ransomware-an... [3]: https://www.robertsonryan.com/2021/05/18/ransomware-insurance/ https://www.robertsonryan.com/2021/05/18/ransomware-insuranc...
- nexuist 5y agoCyber insurance is a real field but it's still very new so not a lot of executives know about it. I think in the future it will become a very popular industry. I could even see it becoming an option for private citizens, paying $x/mo so that when you get doxxed your insurance company will sue a bunch of websites on your behalf to get your data taken down. Right now this is an awfully tedious and high-effort process, but it's especially necessary when you have e.g. revenge porn or private messages threatened to be revealed by blackmailers.