Should my business invest in Cybersecurity insurance? I get a lot of questions from customers concerning the value (or lack thereof) in cybersecurity insurance. Listed below are some of the questions, along with my thoughts and recommendations based on my industry experience.
What is cybersecurity insurance?
Simply put, Cybersecurity insurance protects businesses and individuals from network-based risks. No one can fully prevent data breaches, which is why Cybersecurity Insurance exists. The cost of incidence response is seldom budgeted for by any organization, so the Cyber insurance helps cover those costs to recapture and rebuild your data.
Do I need it?
In my opinion, the answer is yes. Cybersecurity insurance can be very beneficial to companies who have not budgeted for the remediation of a cyber attack. Yet, to gain the full potential of the insurance, there is a chief component needed for organizations to make valid claims.
How can I make it worth it?
The key piece to the puzzle to ensure full use of the insurance is Log Management. Log Management, which has many platforms, is a tool that you can use to support your claim of a breach to your insurance provider. We’ve seen that most claims from a breach will not pay out if you do not have the information provided by this tool. The insurance companies want log management to see what happened before, during and after the breach to validate the claim. Without log management, it is hard to verify any of this information. And without that snapshot, regardless of what you’ve been paying for insurance, the claim you deserve will not be paid. Log management can be expensive depending on your compliance needs and data retention required by the insurance provider. However, many Managed IT service providers, like Corsica Technologies, offer this service as a value ad. Bottom line….you probably need to invest in cybersecurity insurance, but you need log management too. If you’d like to learn more about log management or cyber insurance, contact me or any of our experts here at Corisca and we would be glad to help guide you on your IT journey.