Page 19 - The Insurance Times May 2025

Risk Management

Cyber Security and

Cyber Liability

Insurance: A Strategic

Imperative for Risk

H. R. Gangwal
Management General Manager
United India Insurance Co. Ltd.

In today's interconnected digital landscape, where the boundaries between the physical and virtual
worlds blur, cybersecurity has emerged as a cornerstone of protection. Whether it involves
safeguarding sensitive data, shielding critical infrastructure, or defending against increasingly
sophisticated cyber threats, cybersecurity is no longer a mere technological necessity-it is a strategic
imperative.

I n today's interconnected digital landscape, where the Regulatory Frameworks and Cyber-secu-
boundaries between the physical and virtual worlds
rity Protocols
blur, cybersecurity has emerged as a cornerstone of
protection. Whether it involves safeguarding sensitive
introduced stringent regulatory measures. Laws such as the
data, shielding critical infrastructure, or defendingagainst To address this expanding risk landscape, governments have
increasingly sophisticated cyber threats, cybersecurity is no General Data Protection Regulation (GDPR) in the European
longer a mere technological necessity-it is a strategic im- Union and India's Information Technology (IT) Act impose
perative. For individuals, businesses, and governments alike, comprehensive data protection requirements, ensuring or-
robust cybersecurity frameworks represent an essential safe- ganizations adhere to responsible practices. Non- compli-
guard against an expanding spectrum of risks. ance with these regulations can result in significant legal
penalties, intensifying the need for reliable cybersecurity
These risks range from hacking, phishing schemes, and measures.
ransomware attacks to large- scale data breaches. Each car-
ries its own devastating repercussions, threatening Organizations must adopt multi-layered strategies to mini-
operational continuity, financial stability, and the reputation mize vulnerabilities. Employee training is critical in prevent-
of victims. The importance of cybersecurity goes beyond ing social engineering attacks, such as phishing schemes that
mere defense mechanisms; it serves as a vital foundation exploit human error. Regular security audits enable busi-
for compliance with legal and regulatory frameworks, op- nesses to detect and patch vulnerabilities proactively. Data
erational reliability, and trust-building with customers and encryption, as an additional layer of protection, ensures
stakeholders. sensitive information remains secure during transmission

18 May 2025 The Insurance Times