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Insurance has key role in battling cyber risks: Analysis

Insurance has key role in battling cyber risks: Analysis

While most companies still do not buy cyber liability insurance despite the widely acknowledged serious threat that cyber risks and cyber security present, the Insurance Information Institute says that is changing.

The white paper released last week, “Social Media, Liability and Insurance,” concludes that “insurance has a key role to play as companies and individuals look to better manage and reduce their potential financial losses form social media and cyber risks” in the future.

Other topics covered in the 20-page white paper by the new York-based III include social media litigation, legal liability, cyber security data breaches and risk management.

An appendix provides a summary of major cyber security legislative proposals.

III President and chief economist Robert P. Hartwig and Claire Wilkinson, vp for global issues, wrote the white paper.

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