“Cyber criminals are always looking for new targets,” observed Timothy Zeilman, vice president and counsel for
Hartford Steam Boiler Inspection and Insurance Company (HSB), part of reinsurer
Munich Re.
According to a
Business Wire report on a survey commissioned by HSB, 10% of respondents had experienced a cyber-attack in their household. Damage to home devices also commonly results in financial loss as 42% of the victims spent $1,000 to $5,000 to respond to the attack.
Want the latest insurance industry news first? Sign up for our completely free newsletter service now.
“Home devices… are often designed for easy use and not security. Compounding the problem, many consumers don’t even take basic measures such as changing default passwords and updating security software,” Zeilman further observed.
Zeilman also said in the report that home risks for cyber-attacks are likely to increase as more devices and appliances connect to data networks. As a response, he added, insurance firms should evolve their products to cater to this market with many already updating their coverage to include expenses related to attacks on home computers, home systems, cyber extortion, data breach, and online fraud.
Related stories:
Cyber risk set to intensify this year
Private cyber insurance provides adequate risk coverage: study
.jpg)
