cyber defence and cybersecurity

Cyber Defence and Cyber Insurance – Cybersecurity

A Holistic Approach to Cyber Defence and Cyber Insurance

Cybercrime in South Africa continues to soar and companies of all sizes are realising the essential need to have comprehensive cyber insurance. While cover of this type is an essential precaution it needs to be implemented as part of a holistic cybersecurity strategy in order to be cost-effective and ultimately useful to the business.

In this article, we take a look at the symbiotic relationship between cybersecurity cover and the various cybercrime prevention methods that businesses can implement to lower their risk profile when dealing with insurers. 

Read on to find out how you can protect your business from online criminals and potentially end up with a lower monthly insurance premium.

Cybercrime insurance: what the latest data tells us

Cyber attacks in South Africa are rising by the year and companies are increasingly opting for cybercrime insurance. However, given the dramatic increase in these attacks, some insurers have left the market while others are raising premiums significantly and increasing their qualifying criteria for policy holders.

Businesses seeking comprehensive cybersecurity insurance should bear in mind that covering their losses in the event of a cyberattack is not the only necessary measure that should be taken. 

The reason for this is simple: a business that is vulnerable to cyber attacks due to poor security is more likely to be targeted by cybercriminals, and therefore will end up claiming on its cyber security insurance more frequently – or at least that’s what the insurer may assume.

This high risk profile may drive premiums up to the level of unaffordability. 

At the same time, insurance companies are starting to demand that comprehensive cybersecurity planning and response protocols are in place before even ensuring a customer.

  • 53% of businesses surveyed by Sophos indicated that they are seeking cybercrime insurance this fiscal year.
  • Of these respondents, 98% have implemented some form of cybersecurity upgrade to improve their chances of approval and favourable premiums.
  • An overwhelming majority of respondents said that their enhanced security measures had resulted in successful insurance outcomes, underpinning the effectiveness of this approach.

The main take away from the current developments in the cybersecurity sector is that it’s no longer a case of either insuring your business against the eventuality of a cyberattack or preventing one with advanced security measures, but rather that it’s necessary to do both.

Why a holistic approach is needed to combat cybercrime

Before obtaining cybercrime insurance cover for your business, an excellent strategy is to have all the necessary cybersecurity protections like firewalls, antivirus software, and multi factor authentication in place. 

Among these, obtaining secure cloud storage is one of the most crucial steps that any business can take to increase its chances of recovery in the wake of a cyberattack.

Our range of secure cloud storage solutions for businesses of all sizes are built on a powerful backbone of immutable storage, which is almost impossible to corrupt. Browse our range of packages today to enjoy the peace of mind that comes with having your data fully secured.