With 2020 behind us, we’ve seen unprecedented levels of cyber crime across the business landscape and even the government. Cyber criminals have and continue to take advantage of the pandemic health crisis with new phishing threats and sophisticated hacks of companies that transferred to remote working. As we enter 2021, it’s clear that new technology to improve cyber security is needed, as well as insurance coverage that will cover businesses in the event of a breach.
We can expect to see more major shifts in the world of cyber, as many businesses face new cyber threats as a result of their remote work situation. If your clients do not yet have cyber coverage, now is the time to get them prepared!
ProWriters has streamlined the process of quoting cyber insurance with our Cyber IQ Comparative Rate Portal to make selling insurance easier than ever. You can compare quotes from multiple carriers within minutes to find your clients the best possible coverage as they head into 2021. They’ll rest assured knowing they are covered for any situation as they start a brand new year.
What Do We Anticipate in 2021?
Here, we discuss our predictions on all things cyber as we move into 2021, including the new risks, cyber targets, emerging technologies, and possible regulation changes.
The Risk: Cyber Crime Will Continue to Rise
In 2021, we can expect more breaches, period. Hackers are rapidly finding creative ways to infiltrate systems, especially with many employees using personal devices or working outside the usual protections of network security. New technology to improve cyber security will replicate the measures that employers typically use, but applied to remote work.
For example, employees should be required to use a Virtual Private Network (VPN) to protect sensitive data even when they’re not onsite. Corporate data backups will be more important than ever, as hackers find more ways to penetrate company networks. And, multi-factor authentication should be enabled to reduce the risk of unauthorized access by non-employees.
We expect that attacks in several categories will continue to be a serious threat:
These attacks utilize technology to produce videos that have been manipulated. Deepfakes appear so realistic, many people can’t tell they’re not real. We expect them to continue to become more sophisticated as time goes on.
- Cloud-Based Attacks
We can likely expect major cloud breaches related to default settings and misconfigurations affecting many clients at once
While these attacks have been around for some time, they’re not slowing down anytime soon. Ransomware attacks, including those involving social engineering, will continue to grow in both frequency and severity.
In addition to these threats, emerging technologies such as artificial intelligence (AI) are likely to be used by hackers seeking to impersonate authorized users. Hack techniques will continue to evolve, leaving a wide range of industries at risk of an attack.
The Market: Turbulence & Confusion
With more and more small businesses purchasing cyber policies, the rate of reported claims will increase. Whereas organizations may not have reported claims while they were still uninsured, with a cyber policy in effect, these will be documented and premiums could rise across the board. However, due to the amount of variation within the cyber insurance market, brokers may also be able to find less costly policies when they compare providers.
Regulatory changes in 2021
Will 2021 be the year that the United States passes a federal regulation similar to the California Consumer Privacy Act (CCPA)? It’s too soon to tell, but we may continue to see individual states within the U.S. take this matter into their own hands as California did (rather than wait on Congress to pass this legislation).
What Can You Do?
If there’s anything we can be sure of as we move into 2021, it’s that cyber attacks aren’t going away anytime soon. Today, the safest and most cost-effective way to protect your clients from a cyber threat is by selling them a cyber liability policy.
A cyber liability policy offers protection from both first- and third-party threats, in addition to multimedia coverage, cyber extortion coverage, cyber business interruption coverage, and more. Without this coverage, the costs of a cyber attack can be devastating.
Talk to the Experts at ProWriters
ProWriters has simplified and streamlined the process of comparing and buying cyber insurance to make your job easier. With our Cyber IQ Comparative Rate Portal, you can instantly compare multiple quotes from multiple carriers to find your clients the best possible coverage available. They’ll be confident, knowing they’re covered in the event of an attack.
In addition, we offer a wide variety of free downloadable resources for brokers. Check out our latest addition, The Six-Step Guide to Becoming Your Clients’ Cyber Security Expert, to learn more about the cyber industry so you can best serve your clients.
To get started, schedule a phone call with a ProWriters expert today.