Banking, Financial Services and Insurance are one of the largest segments in Australia.
With the growth in the insurance market, there has been a steady growth worldwide in the cyber insurance market by “$75.4 billion and a growth forecast of $170 billion by 2020.” (AON Report)
Insurers need to stay ahead of the competition to provide great product and service..
The team at Criterion Conferences asked Anthony Smit, Manager of Sedgwick’s Cyber Specialist Group for his comments on incident response management.
What is forecasted for the cyber insurance industry in 2019?
From my point of view and what has been reported, an exponential growth rate is forecast. This is due to in part the insurance penetration rates improving, the changing privacy regulatory environment and increased frequency of cyber-attacks.
How do you deliver reliable cyber incident response?
To deliver a reliable and consistent incident response, the first 24-48 hours are most critical. This where our experienced incident response managers use an internally developed triage process to assist in ensuring we bring onboard the various and appropriate IT Forensic experts, lawyers, forensic accountants and PR consultants. An incident response service is akin to setting up a crisis response team and requires experience, absolute customer service focus and project management skills.
What are the greatest challenges that you face while managing claims and incident responses?
Possibly not a standard answer but I believe the challenges are time, availability and emotions. As mentioned previously, the first 24-48 hours is the most important. This is where we at Sedgwick need to contact and engage all the key experts, get a clear understanding of what is/has happened which must then be communicated with the insurer, broker and insured. This helps remove the emotion which a cyber-attack typically generates and allows a clear focus on getting the insured back up and running as soon as possible.
How do you package Sedgwick’s incident response service?
What is not often well communicated is that cyber insurance provides an insured with incident response service and access to experts. At Sedgwick we offer both. The offer could be the full ‘package’ i.e.an end-to-end incident response service which includes a 24/7 helpline, claim triage, experience incident managers and access to experts which include our highly regarded forensic accountants, or we have partnered with Insurers offering particular Sedgwick services such as business interruption quantification by our forensic accountants.
Legal risks in implementing incident response?
In providing a reliable and consistent incident response, an experienced and thorough triage process is required initially. Key questions regarding the type of data compromised i.e. financial and sensitive personal data, whether or not any of this data has been extracted and the type of business will provide guidance as to the engagement of our legal partners. Lawyers are important partners in Sedgwick’s incident response process and they assist to advise and cover off all legal risks and implications resulting from the cyber-attack.
Hear from Anthony Smit at the One-Day Intensive Cyber Insurance Forum about:
- Unpacking each stage of the cyber claims process
- Determining the impact of the cyber incident on the business
- Delivering ‘calm’ amidst the ‘angst’ engaging multiple stakeholders and panel of expert
The Cyber Insurance Forum is running on Thursday 16th May 2019 at Novotel Sydney