Do small businesses have a false sense of cyber-security?

A recent article posted on CanadianUnderwriter.ca tackled the issue of cyber-security, and shines a light on the fact that small businesses may not be taking their cyber-risks seriously.

photo courtesy canadianunderwriter.ca

photo courtesy
canadianunderwriter.ca

Businesses outside the information technology sector seem less likely to seek cyber liability insurance since news broke last December 19 about the breach involving Target, suggests Insureon, an insurance provider for small business.

In a statement Wednesday, Insureon identified that in the months before information came out on Target’s data breach, 9% of non-IT Insureon applicants requested cyber coverage. In the months since, only 5% have made the request.

Insureon cautions that it appears media portrayals of breaches are giving small businesses a false sense of security.

“The reality is that small businesses get hacked far more often than big ones,” Ted Devine, CEO of Insureon, says in the company statement. “But you’re not going to turn on the evening news and hear about the florist on the corner getting breached. You’re going to hear about Michael’s and Neiman Marcus and P. F. Chang’s,” Devine continues.

Click here to read the full article, or visit www.canadianunderwriter.com and search posts related to Cyber-Security.

The Top Risks for Commercial Insurance – 2013

In the wake of an historic number of natural catastrophes, the insurance industry has released its findings on the top risks that companies may face going into 2013. The Allianz Risk Barometer 2013, is a survey conducted last fall by Allianz Global Corporate & Specialty (AGCS) that tracks the losses and claims and the loss statistic within the insurance industry. The following is an excerpt from a recent post on the Canadian Underwriters website, and can be read in its entirety by clicking through at http://www.canadianunderwriters.ca/.

Risk

Business and supply chain interruption, natural disasters and fire and explosion have been identified by more than 500 corporate and industrial insurance experts across the Allianz Group as key risks that companies in particular regions and sectors face in 2013.

Fire has sparked new interest, moving up on the risk manager’s agenda from tenth in 2011 to third in 2012, notes Allianz Risk Barometer 2013, a survey conducted last fall by Allianz Global Corporate & Specialty (AGCS) and released yesterday. (Although there were 529 respondents from 28 countries, since multiple answers for up to industries were possible, 843 answers were delivered.)

“Its resurgence in this year’s survey shows that companies should not compromise their fire protection systems due to economic pressures,” says Thomas Varney, head of risk consulting, Americas for AGCS, which provides insurance and risk management support across the spectrum of marine, aviation and corporate business. [emphasis added]

 

Ontario Anti-Fraud Task Force Interim Report

The steering committee of the  Ontario Auto Insurance Anti-Fraud Task Force has asked its working groups to consider the licensing and regulation of health-care clinics, plug current gaps in regulation (such as the introduction of a regulatory regime for tow truck drivers, for example) and the establishment of a dedicated fraud investigation unit.

In addition, the working groups have been asked to develop a consumer engagement and education strategy so people will be aware of the claims system and thus not susceptible to misinformation provided by fraudsters.

Finally, the working groups will consider the development of a single Web portal for Ontario auto insurance claimants. The portal would be a source of consumer information and education on matters such as approved protocols for treatments on specific auto related injuries.

These and other recommendations are part of an extensive report issued by The Ontario Auto Insurance Anti-Fraud Task Force, which the Ontario government established in July 2011 to determine the scope and nature of automobile insurance fraud and make recommendations about Mensen kunnen dan gewone online casinospellen spelen, maar dan met live dealers. ways to reduce it. The Insurance Bureau of Canada (IBC) issued a press release saying it was “pleased” with the interim report.

“To have a real impact on Ontario”s efforts to eliminate insurance fraud, we need to address the underlying factors that contribute to the problem,” said Ralph Palumbo, IBC”s vice president of Ontario. “The Task Force has accurately identified those factors, as well as other issues that require further examination.”

In addition to endorsing the recommendations in the Task Force report, IBC is advocating for the imposition of tougher criminal and civil penalties for identity fraud and theft.

The recommendations in the task force will go now go to three separate working groups for further review. The Task Force established a working group to look at each one of the following topic areas related to auto insurance fraud:

  • prevention, detection, investigation and enforcement;
  • regulatory practices in the automobile insurance system; and
  • consumer engagement and education.

The steering committee overseeing the work of the Task Force and its three working groups will issue a final report due by Fall 2012.

The full interim report can be viewed at:  http://www.fin.gov.on.ca/en/autoinsurance/interim-report.html