Required to have cyber insurance by customers, but can’t afford it? Or don’t want to spend the money? Here comes a possible solution.
“Characterizing today’s cyber insurance market as being similar to the Wild West, Struck says he would not be surprised to see ‘relatively low-cost cyber insurance that doesn’t cover much, but at least it provides the certificate for a contractor.’ He (Daniel J. Struck, a partner at the law firm Culhane Meadows) likens such ‘skinny’ cyber insurance offerings to the low-cost, low-coverage auto insurance policies that allow drivers to meet US state auto insurance mandates.”
However, we expect major companies to get more and more detailed with their downstream cybersecurity and cyber insurance requirements. A “skinny” policy may not past muster with sophisticated customers and partners. It’s also unlikely to demonstrate the security controls required to get “normal” policies.
It’s getting hard to buy cyber insurance, but not having it is not always an option. Low-coverage plans could bridge the gap.
Source: ‘Skinny’ Cyber-Insurance Policies Create Compliance Path