Companies and individuals increasingly rely on digital technology to work, to entertain, to purchase, to sell, to travel, and to live. Smart insurance professionals have caught on and are developing products to respond as required in order to mitigate risk.
But the distinctive characteristics of cyber risks make this area a challenge. More often than not, the items at risk are intangible. Criminals don't have to be physically close to steal information and digital currency. Terrorists can undermine infrastructure without any direct physical contact.
To address these cyber risks, underwriters and claims professionals are partnering with experts in data, computing and analytics. As the clash between digital security and cyber piracy continues to intensify, risk analysis must be ceaseless and mitigation factors must be continuously improved.
The challenges are substantial, but so are the rewards. Experts estimate that worldwide revenue in cyber insurance premiums and services could increase tenfold – from USD $2 billion to $20 billion – within 10 years.
- Business Interruption, Cyber Incidents Dominate 2018 Risk LandscapeAllianz Risk Barometer New York, NY (Jan. 17, 2018) – Allianz Global Corporate & Specialty (AGCS) has announced findings from its seventh annual Allianz Risk Barometer, based on insight from 1,911 risk experts from 80 countries. Global Rankings Business interruption (42%) and cyber incidents ...