Page 38 - Insurance Times October 2019
P. 38

THE GLOBAL CYBER



          INSURANCE MARKET




          IS FLOURISHING DUE



          TO THE INCREASED



          DEMAND FOR CYBER



          INSURANCE POLICIES










         C        yber attacks not only results in huge financial  that the cyber insurance market is expected to grow at a


                  losses to companies that are left devastated by
                                                              Compound Annual Growth Rate (CAGR) of roughly 27%
                  slowdowns or shutdowns in normal operations,
                                                              between 2019 and 2025. Therefore, the increase in
                  but also expose them to diverse risks of beyond-
         repair reputational damage, regulatory fines, and legal  demand for cyber insurance policies is behind the rapid
                                                              growth of the cyber insurance market worldwide as well
         liabilities in the events of customer data breach or violation.  as in India.
         According to estimates by Kaspersky Lab, the multinational
         cyber security company, India was the third most affected  There's no denying the fact that cybercrime has presently
         country by the WannaCry attack in 2017. Even startups  become a global threat. World Economic Forum, in its
         companies like Zomato and Uber also suffered data    recent report, has referred cybersecurity threats as one of
         breaches last year.                                  the top four global risks. Cyberattacks can also be launched
                                                              with ulterior intention. The dreadful thing is that some
         The recent market research conducted on cyber insurance  attackers look to exterminate systems and data in the name
         states that cyber insurance accounted for +4 billion USD in  of "hacktivism." Along with the countries like Russia and
         the year 2018 and is expected to reach mammoth +22   Ukraine, India was affected by the ransomware attack in
         billion USD in premium globally by the year 2025. It shows  2017 which forced the country's largest port Jawaharlal
                                                              Nehru Port Trust in Mumbai to shut down its operations
                        About the author                      at one of its three terminals.

           Subir Mukherjee                                    Such cyberattacks certainly have a downbeat blow on
           Director & Founder                                 business and organizations since they could suffer huge
           GIBL.IN                                            losses in this way. Consequently, there has been an

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