Hartford Steam Boiler (HSB) has introduced “Cyber for Auto,” an insurance product designed to mitigate cyber threats targeting personal vehicles. This offering is in response to the growing concern over cyber-attacks, ransomware, and identity theft as vehicles become more technologically advanced.
“Automakers continue to integrate new technologies into today’s vehicles,” said James Hajjar, chief product and risk officer for the Treaty Division of HSB, part of Munich Re. “With each added system or connection, there are new vulnerabilities that hackers and other cyber criminals can exploit. Cyber for Auto helps insurers and their customers stay ahead of these new cyber exposures.”
The product aims to protect private information stored in vehicles and connected through cloud-based and wireless communication networks. An HSB survey found that:
- 72% of consumers have synced their phones with their vehicles.
- 60% have stored personal data in their vehicle’s computer systems.
- 36% of respondents are very concerned.
- 28% are extremely concerned about the security of their personal information. That concern increased to 79% among plug-in electric vehicle owners.
“Cyber for Auto”
“Cyber for Auto” offers coverage against a variety of cyber threats, including personal data attacks connected and stored in vehicles. It provides coverage for cyber-attacks, malware, viruses, ransomware demands, and identity theft. The insurance provides coverage for identity recovery services. It also pays for towing, labor, and temporary transportation expenses while restoring affected auto systems.
This insurance product will be available through endorsements to policies from insurance companies partnering with HSB. The initiative represents HSB’s effort to address the escalating risk of cyber-attacks on vehicles, aiming to provide drivers with protection and peace of mind. HSB also highlighted that the “Cyber Security for Automobile Insurance” offering has yet to be approved by any state insurance departments.
Source: HSB Introduces Cyber Insurance for Autos.