Oct 19, 2021
During the past year, ransomware attacks and other cyber breaches have skyrocketed leading to significant changes in the cyber insurance marketplace. Historically, obtaining cyber insurance was simple and renewals were a matter of updates based on major changes within an organization. Fast forward to now and notable shifts in insurance policies and regulations are taking shape. Underwriters are now asking for more information related to cyber controls and IT risk management.
Multi-Factor Authentication (MFA)
Multi-Factor Authentical (MFA) is now a minimum requirement for cyber insurance through most carriers. The message, if you have not incorporated MFA into your current IT environment, your organization may be considered a high risk which would disqualify you from coverage.
MFA provides an additional layer of security above and beyond your traditional password protection. It requires users to validate their identity with additional credentials. These credentials could be the answer to a security question, the click of a button in an app for approvals, or even a biometric identifier such as a fingerprint. This extra layer of protection stops attackers as they won’t be able to access an account without all required credentials, even if they have stolen a password. The additional proof points confirm the person attempting to enter the system is truly who they say they are.
According to both Microsoft, ‘up to 99% of cyber identity attacks can be prevented with MFA’. Google has also supported this with their research ‘which shows that simply adding a recovery phone number to your Google Account can block up to 100% of automated bots, 99% of bulk phishing attacks, and 66% of targeted attacks.’
If you already have cyber insurance you more than likely will find stricter requirements during your renewal. If you are in the market for cyber insurance, you will need to incorporate MFA before you seek coverage. Carrier data proves those without MFA are at a much higher risk for extortion and therefore coverage is not obtainable.
Our WVC Technologies team can assist with your MFA initiatives to help you: one, qualify for cyber insurance quotes from multiple carriers, and two, help reduce your claims activity which can improve your insurance pricing.
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Greg Gomach, WVC Technologies Senior Client Rep.
Categories: Risk Services