Impact of Artificial Intelligence on Cyber Insurance
A really great article came out today about artificial intelligence and how it’s affecting the cyber attack and cyber liability space. Presumably, this article was about cyber as a company risk, not just management and that kind of thing. But buried down further is the impact of AI on cyber insurance. As a licensed cyber insurance broker agency, we see these types of risks all the time in our client workspace.
How AI Helps Hackers and Scammers
Artificial intelligence is making it easier for hackers and scammers to be able to process millions and millions of attacks. It smooths out their workflow in the same way that AI is helping legitimate companies do business better. It’s also affecting the hackers, it’s getting them to do better.
AI in Cyber Security and Insurance Policies
At the same time, insurance policies are using AI to fight back and strengthen cybersecurity controls. How does that affect you? Well, if you are a company that has a policy with an insurance company, most insurance companies are going to use AI to help manage your risk. They’re going to have active monitoring of your threat profile. They’re going to use AI to better price products.
AI Arms Race Between Hackers and Cyber Defenses
But just like any other arms race, hackers are going to use AI to write better emails that are better disguised as social engineering attacks. What happens is, as the insurance companies and cyber defense people identify these, hackers are going to use AI to make it better, and then there’ll be a counteract. AI will be used to help protect that. So you always have to be part of that arms race to make sure that you have very good cyber liability insurance, very good active monitoring, and a response protocol.
Infiltration Detection and Insurance Underwriting
If there is some type of event, it doesn’t even have to be an attack. Most of the time, the attack is the last thing that happens. There are infiltrations of your system that happen much earlier before the attack, and you want to make sure that that’s noticed. Your cyber insurance will also use AI for underwriting to make sure that they’re properly identifying the risk and helping you mitigate those. It is proactive control to prevent the breach.
Benefits of AI for Disaster Recovery and Attack Prevention
Insurance companies would love to prevent a hack from even happening because it lowers their cost and keeps you from becoming a victim. It also helps create disaster recovery plans, making sure you have vendors that you’re going to use in case something happens to one of your vendors. This is key to having an attack be just a minor blip on the system and not be critical damage to your company and revenues.
Consequences of a Cyber Attack on Businesses
There’s been some surveys put out that say if a company has a cyber attack, their likelihood of going out of business is three times what it was if they didn’t have an attack. So you want to make sure that you’re properly prepared just like you would for any other risk like fire, theft, or other types of damage.
Access to Expert Consultation for Cyber Prevention
If you have any questions about cyber prevention or cyber liability, you can click the link below. We’d be glad to help. Thank you for reading another article at actualhuman.com.
