This subject is discussed in the article dealing with how to reduce premiums, lower risk, and remove barriers to pay outs.
The cyber insurance market is getting tougher and for many organizations it’s getting harder – and more expensive – to secure coverage.
Fortunately, good cybersecurity can facilitate cyber insurance in multiple ways: from making it easier to get coverage, to lowering premiums and removing barriers to pay outs if you need to make a claim.
The cyber insurance market
Cyber insurance has, until now, been a ‘soft’ market, characterized by high capacity and low premiums. However, the market is starting to harden, leading to higher premiums: the cost of standalone policies significantly climbed in lately. It’s also getting harder for many organizations to get insurance in the first place as the underwriting process grows more and more rigorous and overall capacity drops.
Good cybersecurity helps with cyber insurance
Having strong cyber defenses in place from Sophos can help in a number of ways.
- Advanced protection is increasingly a requirement in order to get cyber coverage, with managed detection and response services, endpoint or extended detection and response technologies, and next-gen endpoint protection the most common requirements.
- Multi-factor authentication is also fast becoming a prerequisite for coverage, with insurers looking to ensure some of the most common security gaps are closed before they absorb the risk.
- Having advanced IT defenses helps reduce your cyber insurance costs. Customers consistently say that the quality of their protection impacts their premiums.
- Good cybersecurity can also help keep premiums down in the long term: by minimizing your risk of being impacted by a cyberattack you reduce the likelihood that you’ll need to call on your policy – and keep your policy renewal costs down.
- If you experience a cyber attack and your insurer believes that you ‘left the door open’ through weak practices, they may have grounds not to pay out. This is another area where Extended Detection and Response technology can help. It enables you to identify IT hygiene gaps such as out-of-date software, so you can address them and ensure that, should the worst happen, the insurance company will step in.
- And finally, responding quickly and appropriately to a cyberattack can significantly reduce the impact and cost of the incident.
How Cloud IT! can help
As a Sophos partner, we offer a wide range of products and services that can help you qualify for insurance, keep premiums down, and reduce the risk of making a claim.
If you require any further information, feel free to contact us.