P752 | Programme on Cyber Insurance (Non-Life)

Increasing technological adoption, higher volumes of data usage, and the proliferation of connected devices have made cybersecurity risk a major concern for organisations, governments, and individuals. The rising frequency of cyberattacks, coupled with increasing complexity and dependence on information and communication technology, has made cyber risk management increasingly challenging. With the introduction of the DPDP Act, every organisation-from multinationals to SMEs and start-ups-that has access to private and confidential information bears the responsibility of securing and protecting it. These entities are exposed to risks such as e-theft, service disruption, and destruction of critical data. In addition to financial and legal consequences arising from cyber incidents, they also face the risk of reputational damage. Further regulations impose stringent reporting requirements, notification procedures, and penalties for security breaches.

In this evolving risk landscape, cyber insurance has become an essential risk transfer mechanism, helping organisations mitigate the financial impact of cyber incidents, cover costs related to data breaches, business interruption, forensic investigations, legal liabilities, regulatory penalties, and crisis management, while also encouraging stronger cybersecurity practices through insurer-led risk assessments and controls.