Amid increasing risk of cybersecurity threats, Indian companies are seeking insurance, with enquiries rising as much as 70 percent from March 2020.
Collection of premiums for cyber liability insurance could rise up to Rs 300 crore this year, according to a report in The Economic Times.
"For the Indian insurance companies, the expected premium collection for next one year – as of May – stands at about Rs 300 crore," according to a General Insurance Council official told the paper. This is an increase from Rs 100 crore collected as premiums two years ago.
As more people work from home during the COVID-19 outbreak, cyber security attacks have increased, media reports suggest. A Reuters report , citing a home ministry official, said there was an 86 percent rise in cyber crime in four weeks across March and April.
Companies want insurers to provide cover for malware theft, data breach, phishing attacks, identity theft and cyber bullying, among others, officials said.
"A business in India would be outsourcing technology but reputational risk and loss of business can't be outsourced," said Milind Kolhe, chief underwriting officer at Bharti Axa General Insurance.
Bharti Axa recently rolled out an insurance policy for small and medium businesses to provide protection against external cyber risks, the report said.ICICI Lombard also introduced a product that covers identity theft, cyber bullying, malware intrusion and cyber extortion.