Is Cyber Insurance Required?

Keeping your business secure and your customers’ information protected is key to operating successfully. With cyber security becoming increasingly important, it’s helpful for organisations to think ahead and put a cyber safety plan in place.

Cyber threats are becoming more of a risk across all industries and sectors, from energy companies to financial services and public health facilities. With over 2.5 billion known data breaches and cyber attacks reported in Europe from November 2023 to April 2024, threat vulnerability is real for many enterprises.

Businesses may be directly targeted by threat actors or exposed to breaches through digital vulnerabilities, making serious disruption a real possibility. An interruption to day-to-day routines can cost affected businesses a significant amount, both in terms of time and money.

Between July 2023 and June 2024, ransomware threat incidents accounted for 25.79% of all cyber attacks in the European Union. A ransomware attack is when a threat actor uses dubious software to encrypt a business’s data and demands a ransom payment to restore access.

Against this uncertain landscape, it’s essential for organisations to safeguard against threat and protect their data by integrating robust systems. This may also involve operating with the enhanced protection of a cyber insurance or business insurance policy that acts as a safety net should a cyber incident occur.

Table of Contents

What is cyber insurance?
Cyber incident examples.
What does cyber insurance cover?
Is cyber insurance required?
Secure cyber insurance with GasanMamo.

What is cyber insurance?

Cyber insurance is designed to protect a business from the financial losses and disruption caused by a cyber attack. Cyber insurance enables a business to have access to support in terms of business interruption and expert help with recovery from a cyber incident.

It may only be after an enterprise has experienced a cyber attack that they realise the vulnerabilities in their system. Implementing resilient cyber security within a business and protecting with an effective cyber insurance policy will create the safeguarding conditions required for stable and dependable business operations.

Cyber incident examples

A complex issue to address and manage, cyber attacks come in many different forms:

Malware

Malware is malicious software which has the potential to cause harm to networks or computer systems. A key example would be spyware software, which secretly installs on a device and monitors user activity to gain unauthorised access to confidential information.

Phishing

Attacks of this nature come in the form of deceptive emails, websites or messages that have the purpose of tricking users into revealing sensitive information.

Network attacks

Attacks on a network can appear in a variety of ways. One method that cyber attackers may use is to overwhelm a network with so much traffic that it’s then unavailable for real users. This is called a DoS (Denial of Service).

What does cyber insurance cover?

If there is damage to your networks or computer systems from a cyber attack, then a cyber insurance policy should cover the financial losses associated with this incident. Financial losses could be those related to the data theft, damage to digital assets or compromised information.

A comprehensive cyber insurance policy, like the one you’ll find with GasanMamo’s business insurance cover, should include:

Incident response so that investigation costs into a security breach are covered.
Data restoration which helps to recover, restore or replace damaged or destroyed data assets as a result of a cyber incident.
Business interruption funds to cover any loss of business income or additional reasonable operational costs following a security breach.

You know your business better than anyone, but in today’s complex digital world, cyber insurance can support enterprises to feel more secure. It can also offer your customers reassurance when it comes to data and information storage.

If your business gathers data or uses technology, having an effective cyber insurance policy can protect against the reputational and financial damage that could result from a cyber incident.

Whether your business is a small enterprise or a larger company, the reality is that a greater proportion of business is being done online or digitally today. This means that any business can be vulnerable to a cyber attack if it hasn’t made sufficient preparations or doesn’t have strong protections.

Secure cyber insurance with GasanMamo

With decades of experience in business insurance, we offer cyber insurance as part of our Business Protect coverage. Our cyber insurance cover is competitively priced and flexible. You can purchase all three elements:

1. Incident Response

2. Data Restoration

3. Business Interruption

Additionally, you can purchase Data Restoration only or with Business Interruption. In this way, your cyber insurance policy is tailored to suit your specific business needs.

Whether you’re looking for cyber insurance or more extensive business insurance, GasanMamo has the perfect policy just for you. Our expert team can guide you through your insurance policy needs.

Why not get in touch with us for a chat to help you decide on the right type of coverage?

Gain peace of mind and reassurance that your business is protected. Discover the best insurance for your business by getting in touch for a chat with our friendly team.

GasanMamo Insurance is authorised under the Insurance Business Act and regulated by the MFSA.