A group of European industry bodies — BIPAR, FERMA and Insurance Europe, in association with Aon and Marsh — has published a guide to help organisations understand their cyber risks and potential need for cyber insurance.
The European Commission estimates at least 80% of businesses have experienced a cybersecurity incident in the last year. In 2018, FERMA has published three reports to support risk professionals and insurance buyers in dealing with cyber threats and understand risk transfer options: Preparing for Cyber Insurance, a practical guide; a new edition of the Cyber Governance Report and a report containing presentations and interviews from the 2018 FERMA Seminar.
How can the cyber insurance market respond to risk with few boundaries? As cybercrimes continue to increase along with the intensive media coverage of privacy breaches and ransomware attacks, cyber risks complacency could become a thing of the past. In a recent article, the OECD explored some of the challenges accompanying insuring cyber risks, common types of cyber incidents and their potential losses, and enabling the cyber insurance industry.
In this featured article publish in June in the European Cybersecurity Journal, FERMA Board member Philippe Cotelle is drawing some first conclusions after more than 10 years of cyber insurance offering in Europe. A gap between supply and demand remains despite insurance capacities being available.
You cannot put all your money into cyber risk prevention but must invest in resilience, Augusto Perez Arbizu, Director of Corporate Risk and Insurance, Telefonica, and President of IGREA, told the OECD-Marsh conference on cyber insurance taking place yesterday and today in Paris.
The Risk Manager must be responsible, as for others risks, for the quantification aspect of cyber security. It is a necessary step towards understanding and managing the exposure of the company. He/she should act as a facilitator between the Board and the operational department (IT, Finance, Legal and other functions).
Philippe Cotelle, Head of Insurance Risk Management at Airbus Defence and Space, describes the development of a response methodology to create resilience against cyber risks.
There are three main obstacles to a good understanding of cyber risk
The following speech was delivered at a conference on cyber risks at the European Parliament on 23 February 2016.
Cyber security requires an enterprise-wide approach, and the risk manager’s role is to help the company achieve effective, data-based enterprise risk management, the Federation of European Risk Management Associations (FERMA) has told the European Commission.
The good management of data is now an essential part of the business model of many organisations. But with new dependencies linked to the increased use of external hosting, collection, treatment and transfer of data, it is also posing heavy challenges legal, IT and strategic issues.
French and British initiatives are taking the role of insurance for cyber risks into account in their national strategy for cybersecurity.