Cyber is all about your security and assets

Hello,

Looking back over the past month, the one good thing is that Insurers are starting to take Cyber cover seriously which is not before time. For sure there have been offerings but what has been offered to date is still so flaky and there is no general explanation of how people and companies need to run and change in some ways how they operate in today’s world. Too much out there is entirely fake, from general news to counterparties that look realistic to customers who seem to change their mobile numbers weekly and suggest they are for real.

Gut feelings about people are not as smart as they used to be as the criminal element doesn’t care or want what we think and always seems to be ahead of the game. Using Al sounds clever to outwit the criminals, but if they are using it too then its still a major issue, I read that in the UK cyber crime is no the fastest growth area of crime Numbers of how much has been lost are not known but cyber protection is now a massive business.

What needs to be understood is that these criminals are going after small and medium sized enterprises now. Larger firms will still be hit but they are building endless firewalls to make it a lot harder. So criminals go looking for lesser prey.

We all want the easy and cost-free way out of this, and it really isn’t there, except we all need to wake up to the fact if we haven’t been hit to date the odds are irrefutably shrinking on when we will be. The endless ransoms emails threatening to close us down unless we pay 1500 Bitcoins are stupid and yes, the police do take a note, but you hear nothing more which means we are pretty much on our own.

If main Insurers get involved properly it will help a hell of a lot. BUT the pre-requisite changes to work practises will still be part of the cover offered. So, changing passwords monthly, upgrading firewalls, and using a system which will drive you mad will help.

You will need to give the company who manage your computers you mobile phone numbers first. Why? So, when your computer times itself out, you will not be able to get in without accessing the “verification app” which you and all those you employ in the company who use a computer will need.

You won’t be able to get in without the App sending you a six-digit number which changes every 20 second or so. We use a company called Okta verify which comes via our software provider and it does work. No one can use your computer if it is logged out as the verification code only goes to the users mobile. If someone is away, you will need a spare mobile which will enable access as the verification code only goes to the computer user phone.

It stops stray people using your PC or laptop. Will it stop cyber criminals? No nothing will in truth, when the CIA and other presumed super secure establishments are broken into, we all have little chance. But simple things like turning your computer fully off at night (not just the screen) changing passwords regularly and increasing the digits in the password help. Most are suggesting & digits but if you can remember 10 or 12 it’s safer. Sure you will have to forget them when you change, but no one is going to compensate anyone if we just can’t be bothered.

Personally I’m not IT literate and object to be told by some geek what I have to do, but when the alternative is a total mess it’s a case of being between a rock and a hard place and keeping your livelihood or getting wiped out.

Also, until policies really do offer serious cyber cover real time insurance is not going to compensate.

Yes, in a few years when more is known the policy cover will be way better and more competition will bring down prices, but please if nothing else accept the fact its no longer a kid playing on a computer trying to break into your business. It’s a massive operation that could be from anywhere, and hundreds of billions of codes are being sent out in seconds to break in.

If you view Cyber like Covid you can get some idea of its capacity. You can’t see it and it doesn’t recognise borders.

Technology is far outstripping our basic understanding of safety. All we can say is its happening 24/7 and we all need to be aware as this type of crime is not going away!!

The other thing that is on the Horizon is what has been called ‘Treating Customers Fairly’ but on steroids. Come the end of July “Customer Duty” will be in place. The regulators think we don’t have enough information about you all and so are going to insist brokers and agents secure more information and they collect more statistics that I can’t see will help anyone. To me, I think its regulation gone mad and its jobs for the regulator to justify for you and us it will add time to inquiries that I think could be better used.

We all seem to be falling into the trap that Data is king, and the more you have the better the service of delivery. I personally question that as people will lie, and we are all different. But where regulation is concerned there may have been calls that Brexit would reduce it, but I have seen nothing to suggest Insurance or banking will have lighter regulation. Yes, the solvency requirements should come down and help the banking system and the way lending is leveraged plus how much Insurers require for liquid reserves. At street level it will mean little change for most, and with the speed that we saw the recent bank collapses life is still going to be tough.

With inflation obstinately refusing to come down, the replacement costs from home contents to manufacturing machinery to car parts are all quietly creeping up, and it may well pay to do a fresh and inventory of what you have and what it would cost to replace.

Please remember Insurers may not pay out if you have under insured and you register a claim expecting a pay-out. They will pay out but only on a pro-rata basis and reserve the right not to.

If they feel you have underinsured say by 30%, or more, they will not pay you present day equivalent replacement values, but a reduced proportion at best.

We can’t make you do anything you don’t want to do, and we can’t deny Insurance is a grudge purchase. But we can highlight what is being talked about and advise. Ultimately, it’s still your choice and we hope, at all times you will see Trident as a Broker you feel most comfortable with.

Please start looking at your computer access security and reducing your personal and company risk, increasing those wretched log ins and try to generate a full updated inventory and let us know. We can relay the changes to your Insurers and have you properly covered. It may cost a little more, but it really does pay to be properly covered.

Finally please turn every computer off fully at night unless you are downloading then you need the power on. Criminals can’t access your computer when the power is turned off!!

Kindest regards

Robert