Data protection must be a priority for businesses in all industries. But, the insurance industry is particularly affected by data breaches because of their access to sensitive customer data. While risk management is every insurance company’s bread and butter, managing their own exposure to cyber threats can be challenging. But, data security must be given utmost importance as more and more insurance transactions are taking place online. Such online activity gives targets for cybercriminals and each point must be secured. This makes it important for insurance companies to invest in Insurance consulting services & solutions to get access to software and practices that will help them optimize data security.
When addressing cyber risks, insurers should consider the following tips:
Take Cybersecurity as a Boardroom Problem
Instead of leaving cybersecurity to the IT team in isolation, insurance companies should take cybersecurity seriously by having it handled in the board room. Therefore, they need to appoint a senior executive so that the decision-makers in the company will be aware of the cyber risk and what must be done to address it.
Strengthen Cybersecurity Positions
Insurance companies make sure they have a strong cybersecurity position. Thus, they have to review their existing capabilities, identify gaps, and plug the gaps when necessary. This also means developing more dependable data management software that should be reviewed by a reputable provider of quality assurance services. They must embrace the best practices already in place throughout their organization.
Ensure Every Department is Aware of their Responsibility
Organizations must understand that security is everyone’s responsibility, from the top management down. That is why every department must understand where vulnerabilities could come from like third-party suppliers and partners, employees authorized to access sensitive data, and agents. Constant communication is important in all departments so that all team members understand the topic at the same levels.
Make Sure Leaders Collaborate
Leaders throughout an insurance company must work together to understand ways to overcome the organization’s cyber challenge effectively. It’s important to distribute resources and create a clear cyber attack response plan. This plan must be reviewed regularly to make sure the company is prepared for an incident. Company leaders must delineate responsibilities, train team members, and practice for possible scenarios.
These days, insurance companies need to pay close attention to cybersecurity. Aside from helping them comply with evolving legislation, this helps them demonstrate to their customers that they are committed to their privacy and that they protect their valuable data.