Why Cyber Insurance?
There is no doubt that people across the spectrum have benefited and will continue benefitting from technological breakthroughs and big data. However, these advancements are also keeping them on edge. Millions of data stored and processed with the help of digital technologies opened up several vulnerabilities. With only one cyber-attack, an insider or a hacker could compromise the company’s entire data.
Furthermore, it is not only the data one needs to be concerned about. The lawsuits that follow are also the cause of drying up finances and also, in some cases bringing the whole company down. Thankfully, there’s a way to cover these losses with cyber insurance.
What is Cyber Insurance?
Cyber insurance protects individuals, corporate companies, and businesses of varying sizes from information technology risks. The insurance policy is part of the specialty insurance product line.
Firstly, the coverage for first-party claims, the insurers indemnify for direct expenses like costs incurred in notifying the customers about the breach. On the other hand, third-party coverage include financial support to policyholders for claims of injury caused by data loss or cyber-crime. The policy covers these types of first-party and third-party claims.
Insurers must recognize a greater need to protect themselves from liabilities arising out of data loss or theft. Since both personal and company data could be vulnerable to unauthorized access, cyber insurance has become a necessity in the information age.
Who are your potential customers?
The short answer to this question is anyone and everyone. Anyone who can fall victim to data loss or theft are your potential customers. In the information age, this includes almost everyone who would save personal and confidential data using technology.
Traditionally, only a few companies felt the need for cyber insurance. However, that is not the case today. A growing number of companies are taking full advantage of technological advancements in their daily operations. They understand the need for reliable inter-connectivity of their systems. Additionally, they must also hold the responsibility of protecting the data of their customers, employees, stakeholders, and vendors.
As a result, the potential customers for cyber insurance are literally anyone and everyone, from companies that possess data and employ digital technologies to individuals who feel the need for cyber insurance. The target audience for this niche is growing day by day, so take your pick. Tap into the market and start selling cyber insurance today!