By Ish Babbar, CTO & Co-Founder, InsuranceDekho.com
As more and more things move to the internet and apps, it’s crucial for businesses to serve customers online. The story of insurance companies is no different. To bring more convenience, these players have also started selling insurance digitally with the assistance of partner agents. However, this shift also means they need to have strong cybersecurity measures in place to protect customer data from potential cyber breaches.
Cyber risks are constantly increasing in today’s digital world, with threat actors constantly developing attack techniques, more innovative than their previous ones. Last February, the banking, finance and insurance (BFSI) sector faced a staggering 140 million cyberattacks in just one month! To prevent such incidents, insurance companies are actively using advanced security strategies – regularly updating their security software, finding and fixing loopholes, and using powerful encryption to protect data.
Building a culture of cybersecurity awareness
Insurance companies are dedicating substantial resources to providing comprehensive cybersecurity awareness training for their employees. They are equipping staff members with the essential knowledge and skills to recognise and respond to potential threats, thus building a robust culture of cybersecurity awareness throughout their organisations.
This culture ensures that all stakeholders remain vigilant and proactive in preventing data breaches, significantly enhancing the overall security posture of the company. This proactive approach not only mitigates risks but also reinforces the importance of cybersecurity at every level of the organisation, making it a collective responsibility.
A key industry priority is adopting a responsible and transparent approach to data collection. We all know that the overall insurance buying process involves a lot of data sharing between buyer and provider. Insurance companies ensure clear consent is obtained before collecting data, allowing customers to opt-in, opt-out, update, or withdraw consent anytime. They gather only necessary information for disclosed purposes, ensuring transparency and control over personal information.
Leveraging advanced technologies and staying ahead of evolving threats
In the wake of increasing cybersecurity concerns, it’s critical for insurance providers to leverage cutting-edge technologies that can significantly enhance their defense mechanisms. Artificial intelligence (AI) plays a crucial role in detecting and responding to cyber threats more effectively and efficiently, enabling rapid identification and mitigation of potential risks. Additionally, advanced encryption methods and blockchain technology provide robust data protection, ensuring that sensitive information remains secure and preventing unauthorised tampering or fraudulent activities. AI, encryption, and blockchain work in tandem to create a multi-layered defense system, bolstering the industry’s resilience against cyber threats and instilling confidence in stakeholders. This proactive approach not only safeguards critical data and systems but also positions the insurance sector as a leader in cybersecurity preparedness, thus building and maintaining trust, and enabling seamless operations in an increasingly digital landscape.
In today’s digital age, where online services are widely used, strong cybersecurity is essential to keep sensitive data safe. The industry is focused on building robust digital defenses, using advanced encryption, and staying alert for new cyber threats. Insurance companies are taking steps to protect against cyberattacks by using the latest security systems, strict access controls, and hiring cybersecurity experts. This ensures that customers’ personal and financial information is secure and maintains their trust in insurance providers. By prioritising cybersecurity, the insurance industry aims to provide consumers with a safe online experience, where they can use technology solutions without worrying about threats.