Cyber insurance is a growing field putting business and security leaders to the test as they navigate the often tricky process of researching and purchasing policies. Technology is quickly changing, and so is risk.
Insurance for cybersecurity is different from other types of insurance because the nature of threats is constantly changing. A hurricane doesn’t change intensity because a building code changes, but cybercriminals will change their strategies as technology and risk evolve.
“New trends like BYOD, [and] IoT make tech strategy change all the time,” says Portnox CEO Ofer Amitai. “It’s really a problem for businesses to assess their policies and terms. Technology is so dynamic. It’s difficult to say what’s going on; what’s their risk.”
These changes make it harder for underwriters and companies to stay abreast of the landscape. During the tricky process of buying cyber insurance, you’ll ask and answer questions about your company, security posture, and other factors to determine which policy is best for you, and how much coverage you should buy.
It’s worth noting the research process is changing for businesses as the marketplace gets more competitive, notes David Bradford, chief strategy officer and director of strategic partner development at Advisen. Because insurers are fighting to underwrite the same businesses, they’re making the purchasing process less burdensome for clients.
That said, insurance remains a tricky field to navigate, especially for companies new to it.
Here, Bradford and Amitai share questions businesses frequently ask — and those they should be asking — in researching insurance. Keep these in mind as you ponder which policy will work best for you.