The advent of Insurance as a cyber phenomenon has revolutionized the concept of the way insurance cover is provided worldwide. In particular, the field of SME (Small and Medium Enterprises) has completely changed the way it covers itself against hazardous, unforeseen or dangerous situations leading to loss of life, property, and investment. The frequency of criminal interference has become so high now, that every SME has a 1 in 2 chance of being the victim of a Cyber Attack in the next twelve months. Every country and each business now support cyber insurance to protect against irreparable loss and damage by hackers and data breach liability.
Forms of Cover
Singapore is not only one of the financial leaders of South East Asia, but one of Prime SME centers of the world. It is therefore a high grade security risk from attacks by hackers and illegal manipulators. In Singapore, it is an unwritten safety stipulation of the industry that all SME’s must have insurance cover, preferably as cyber insurance, as follows:
- Cyber Liability Costs.
- Regulatory Defense Costs.
- IT Forensic Costs.
- Lost Digital Assets.
- Public Relations Costs.
- Notification Costs.
- Credit Monitoring Costs.
- Business Interruption from Cyber Attack.
- Cyber Extortion.
NB: Both the last two are Cover Extensions.
The sad fact is that it is well known that 60% of businesses under Cyber Attack, will fail within just 6 months, mainly due to lack of proper Insurance cover, which should be Cyber for convenience.