Cyber Attacks are Terrorizing Insurers and Employers, Could the Government Help?

 

        Cyber insurance premiums have seen disproportionate rate increases compared to the rest of the economy for years. Insurance carriers have a hard time predicting the frequency and severity of losses, and they must limit their exposure to such an incalculable risk. Like how the government has helped private insurers with flood risk, we may see that with cyber risk here soon.

        Expectations on companies to protect themselves from cyber-attacks often develop too. Everyone has seen multi-factor authentication, password requirements, and phishing tests all boost in popularity over the last few years, but it still isn’t enough to stop cyber-attacks from happening. So how do we limit our exposure to these attacks, in a way that doesn’t break the bank? The government helping insurers with cyber claims to keep premiums down could be a step in the right direction for predictable cyber insurance rates.

              No matter what, it’s important to try and protect yourself and your company from cyber risks that are all too common. People tend to be careful where they put their information online so their information can’t be stolen, so make sure as their employer you take the proper precautions to keep your company, your employees, and your customers safe.