Insurance companies like Lloyd offer cyber insurance policies that cover a business from facing a business loss during a cyber-attack. However, in coming days, cyber attacks will become uninsurable, as per Mario Greco, the Chief of Zurich Insurance.
Mario, who leads the Europe’s biggest insurance firms, predicted that digital attacks will lose their sheen with time, as business facing such threats cannot be monetarily covered because of multiple reasons.
Already climate changes and pandemics have squeezed out the most from the health sector and coming few days the time seems to be apt for the cyber sector.
As govt funded, hacking groups are involving in such threats from time to time, the threat landscape seems to turn irrational in times to come.
Attacks on hospitals, shut down of fuel supply, disrupting critical infrastructure such as cutting down power and water supply will turn into a trend as countries are engaging consistently behind each other.
Spiraling costs from cyber losses have prompted sector underwriters to tweak their coverage against losses. And this is where it is making insurance seekers wise, as they want all of their IT components covered with no exceptions and end up paying double or triple the current premium.
Fairness seems to be equally balanced on both sides, as the two involved parties want to be proactive before anything goes wrong.
So, will cyber insurance vanish with time?
Not exactly say experts, as a company can still make profits if it charges a hefty premium and technically covers the prevailing threats in the current cyber landscape. But the same doesn’t seem to be true with ransomware, as what if the Not Petya malware strikes an entire country at a time locking down systems in a geographical region forever?
Covering such e-pandemic related losses will be next to impossible…. isn’t it?