Intelligent CISO Issue 07 | Page 86

is expensive. The amount of manpower required to secure such a cheap device would become cost prohibitive. Each of these insecure devices contributes to extra risk, potentially increasing your premiums. Second, with every electronic device we own connected to the Internet, where do traditional insurance and warranty policies end and where does cyberinsurance begin? Your refrigerator gets hacked and the hacker overloads your compressor, is this covered under a cyberinsurance policy or the refrigerator warranty? Your company’s headquarters central building automation system gets hacked and they burn out your door locks. Is this covered under the building insurance, or cyberinsurance? A truck from your company’s fleet gets hacked and causes an accident. Is this claimed against your automotive insurance or cyberinsurance? Put these two factors together and you get massive confusion and potential fluctuations in what you can expect from a policy. Conclusion When evaluating whether your company needs cyberinsurance, you must first evaluate what virtual assets are most important to your company’s livelihood. 86 Cyberinsurance is not for everyone. There are many factors that need consideration including the sensitivity of the data you are protecting, the industry you work in and the size of your revenue stream. Once you have determined that cyberinsurance is for you, be sure to hire an experienced insurance broker with cyberinsurance experience. Always remember, it is not a matter of if you will experience a cyberintrusion, it’s a matter of when you will experience one. Cyberinsurance does not make up for sloppy security practices but is a powerful piece of a comprehensive plan to mitigate risk and defend against cyberattacks. u Issue 07 | www.intelligentciso.com