The ever increasing incidents of cyber frauds, hacking and data theft; have gained ground in the country. Various e-commerce entities such as IT, banking, BPO's and ITes etc. that are highly affected by cyber risks are on constant hunt for policies and insurance companies which offer them the right cyber protection in all times.
While the e-commerce industry wouldn't stop from flourishing, one can surely think of the interesting times that may come ahead for all insurance markets. Such a strategy of cyber insurance will not only open up new opportunities for insurance companies but it will also secure commercial businesses against cyber risks. Hence, to meet up to the security demands of all companies; cyber insurance products are designed in a peculiar manner. They are made to protect commercial companies against wide range of first and third party liability that is usually occurring due to cyber exposures. So, may it be a virus attack or unauthorized data, cyber insurance is the want of the day.
Through the help of cyber insurance in mere future, many telecom companies and hospitals can easily access and deal with customer sensitive data very easily. Also, this product is sure to create a niche in the insurance market.
Presently there are just 3 players in the market that handle this sensitive section because it requires different kind of claim management skills. So, it may be unlikely for other insurance companies to offer such a product. Also, if there are any corporates buying it, then it is a must to understand the risk exposures. If there are no tangible financial damages in such incidents then the losses of each companies are sure to run in crores and furthermore, it can lead to loss of contracts and repute.