Cyber Smart and CyberTECH Smart insurance from Euroins cover financial losses from the cyber attacks
Mr. Danailov, what are the dangers of the global network and what can we do to protect ourselves?
The global network hides a huge number of risks. The electronic devices we use every day could be infected with a malicious virus in many ways - by opening an attached document, photo or video sent by email, flash memory or a short message with a link received through social networks, etc.
What is the cyber insurance of Euroins and is it a novelty for the Bulgarian market?
We are the first company to offer such a product on the Bulgarian market since 2016. Interest has been growing ever since, and companies are increasingly realizing that their business needs this type of protection. This insurance covers risks that would cause extraordinary and unforeseen costs for the company.
What risks does the insurance cover?
- Euroins offers two types of insurance policies on the market - Cyber Smart developed for companies outside the IT industry and CyberTECH Smart developed for IT contractors (freelancers) and IT companies. Both insurances cover risks related to a breach in the company's information security, as the object of compensation could be both direct financial losses suffered by the insured and losses of its counterparties. Also covered risks are damage to the reputation of the insured, damage caused to third parties as a result of a breach in the information security of the company and loss of confidential information or leakage of personal data, professional liability of the insured to customers and contractors for losses due to negligence, error or omission of employees of the insured, imposed regulatory fines and sanctions, etc. Territorial coverage of these insurances is valid worldwide.
Have companies become more aware of these risks?
We receive a lot of inquiries, especially after the publication of news related to a breach in the systems of a company and / or data leakage. The price of insurance is determined by the scale of the business, the amount of coverage purchased and the choice of risks covered, but it is far from the capabilities of any company. There is a possibility for low limits of coverage up to about half a million BGN, for which it is necessary to fill in only a questionnaire. For specialized companies we have developed a procedure and we are able to organize an information audit by a company that is our strategic partner. For us, those who should decide to take out this type of insurance in a company are CEOs and / or owners, as they could look at the problem on a large scale, having a clear assessment of the potential economic loss for the company from a possible breakthrough.
What type of companies are most often looking for this insurance?
The greatest interest is shown by IT companies, as they are aware of the risks and work with international partners. All companies operating with sensitive data need this type of insurance, such as hospitals, banks, architectural offices, construction companies, outsourcing companies, manufacturing and trading companies and others. Practice shows that the interest in purchasing cyber insurance from Bulgarian companies is caused by a requirement of an international partner. In other words, when our company works with a foreign company and has the exchange of sensitive data, the availability of cyber insurance becomes a must. I expect this trend to change soon and for the business in Bulgaria to become more aware and to plan its activities and expenses in view of the potential cyber risks. Unfortunately, so far the need for insurance comes after a problem has already been created. Cyber Smart and CyberTECH Smart can offer indispensable help in solving such problems.
The whole interview here
Todor Danailov - Reinsurance Director at Euroins Insurance Group