You know this already that Virtual is the new life. Be it News, Entertainment, and Oh, Shopping, everything has shifted online. It has become almost impossible to not get our personal information like email, name, mobile number exposed to online world.
Every e-commerce company, these days, have your card details. Wonder the effects once the databases are compromised? Well, let’s not forget the recent data breaches that constantly take place in e-commerce companies.
Cyber-attacks and its impact on business are so much in the limelight right now and data breaches, have been around for quite some time now. There is a lot that goes out to the reach of the fraudsters such as your email, card details, mobile number, and addresses.
Let’s look at some of the very massive and huge data breaches that took place.
- In April 2021, Facebook data leak of 533 million users
- In April 2021, breach of 500 mn Linkedin users
- In February 2019, account details of 422 mn SBI customers compromised
Definitely the fraudster is not going to wait now that they have the information they need to move ahead.
Let’s talk of the after effects.
If a business undergoes a cyberattack, there are two risks that comes in parallel: the cost of handling it and the reputational.
Going back to a study done by Accenture and the Ponemon Institute in 2018, the average cost of a malware attack on a company is over $2.5 million and it takes more than 50 days to recover from the attack.
Speaking of recovery, it is pretty normal for businesses to proceed with cyber insurance that will endure their losses and help them recover. Rising cases of cyber threats explains the need for cyber insurance companies in India.
Not just businesses, do you think an individual is safe? Are you safe?
Now that every tiny personal detail is out in the air, it is very obvious before a fraud trade places with you.
Wondering to do/ How to protect yourself from being exposed to financial losses due to cyber crimes? As we said, we have answers and i.e. – Cyber Insurance.
Just like businesses, individuals can also opt for cyber insurance plans. Most of the insurance companies in India offer retail cyber insurance plans.
This is a new concept in India and you might be wondering, is there a need for Cyber Insurance? Or is it just a western fad trying to make its way to blend in?
We have answers and we don’t want to keep all the knowledge to us, therefore, we are going to discuss everything about Cyber Insurance. So, you know what to do, right?
Cyber Insurance in India – What is it?
Retail Cyber Insurance, as the name says is an insurance policy that has been designed to ensure financial safety of individuals from digital frauds carries out through phishing, malware or sim-jacking.
Annual premium varies depending on the protection cover you are taking. Premium is not subject to the age of policy holder as it is in the case of life or health insurance.
Some plans not only cover monetary losses but also provide cover against legal defence cost. They also cover third party loss as cyber data breach of an individual may lead to monetary loss of others too.
Wondering how will a Cyber Insurance help?
For starters, if you have the policy, it will help in providing potential coverage to the attack and will help to recover from it, in ways big or small.
However, one thing that you must know about Cyber Insurance is its objectives and the protection it will offer. The best practice is to understand the coverage before signing up for the scheme.
Recently, Global cyber insurance industry was valued at $7.8 billion in 2020 and is making a swift growth at 21% CAGR extending its reach to $13.9 billion in 2023 and $20.4 billion in 2025.
You can clearly see the growth rate of this industry compared to other insurance products/options.
Let’s address the elephant in the room as well when we are mentioning ‘’cyber threats’’ and ‘’cyber attacks’’. It is significant that people understand and have the required knowledge of how cyber insurance is a boon to both i.e., their business and to them.
Cyber Insurance – Why Do You Need It Though?
Before you get any ideas, ladies and gentleman, Cyber Insurance isn’t some silver bullet that aims to take care of your cybersecurity issues. No No.
But having an insurance plan than not having it is a good idea especially when your hard-earned money is at stake. It is like having a safety net which aims to safeguard you in case you go through a loss via cyber threats.
The Pandemic has certainly taken a toll on online payments. With more and more individuals moving to the digital means for processing payments, cyber threats have made their way.
With an increase in individuals paving on social media to maintain their timely entertainment, there is also an adverse increase of incidents like cyber-attacks, spyware, phishing emails, and so on.
According to a survey of Indian consumers by FIS in April 2021, 34% of participants reported financial fraud over past 12 months. This figure rises to 41% for those in the age group of 25-29 years.
You probably could be the next victim of a cyber threat. You never know, do you? Better safe than sorry!
This is where cyber insurance comes in.
Regular Cyber Insurance Plans in India Vs FinLock
Let’s look at the comparison for both the options.
The above comparison pretty much gives you an insight on a regular cyber insurance vs Finlock.
Regular cyber insurance is a great way to recover your losses when you have been struck by a fraud. Finlock has so much to offer in addition to its comprehensive protection.
FinLock detects various types of fraudulent attempts on your smartphone and alerts you in real-time, thus preventing frauds from happening.
In case fraud does happen, complete post fraud support is provided. Post fraud moments are very traumatic for a victim as they need support and guidance on what to do next. FinLock has been designed for the best customer experience.
Cyber Insurance, as mentioned earlier is a safety net and having a safety net always adds to sense of relief, doesn’t it?
Alternatively, to prevent yourself from cyber-attacks, you can easily top it off with the layer of preventive measures and keep yourself safe anyway.
All of it sounds good, no? Why not start inculcating it in real lives too?