Daily Market Update

Daily Market Update | Insurance Business

Daily Market Update
Mobile apps will fail basic security tests
Three-quarters of mobile apps will fail basic security tests in 2015 according to a new report from technology research firm Gartner. “Enterprises that embrace mobile computing and bring your own device strategies are vulnerable to security breaches unless they adopt methods and technologies for mobile application security testing and risk assurance,” said Dionisio Zumerle, principal research analyst at the firm. “Even when application security testing is undertaken, it is often done casually by developers who are mostly concerned with the functionality of applications, not their security.” This is a big task to deal with for many businesses especially those who allow employees to use their own devices to connect to business systems via third party applications. Gartner predicts that by 2017, the focus of endpoint breaches will shift to tablets and smartphones – already there are three attacks to mobile devices for every attack to a desktop.
Insurance industry struggling to adapt to the digital age
A new report by KPMG says that while the insurance industry recognises the importance of being part of the digital world, it is struggling to get there. The research called ‘Transforming Insurance’ collates opinion from across the industry and concludes that the big battle is adapting existing operating practices in keeping with technology. KPMG found that although there is high interest in moving things forward so many of the legacy processes and systems do not easily translate. There is also, the report says, a large cultural shift required to enable the sector to become more technologically advanced.

Is fracking a risk worth taking?
Since the world discovered fracking there has been a new excitement in the energy business. Suddenly, it seems, we were all being told that the stories that we have all heard for many years, that natural oil and gas reserves were only decades from running out, were no longer a concern. Now, we had found a way to unlock the huge reserves under countries that didn’t even have an oil industry before. On the plus side, it has meant the US alone has almost halved the amount of oil it imports over the last 8 years and around 90 per cent of people believe the oil boom will help the economy, improve energy security and create jobs. Now, the downside. Oklahoma experienced a massive increase in earthquakes last year, 50 times greater than normal levels and some studies put this down to fracking. Studies elsewhere have also seen a link between seismic activity and fracking. As well as the environmental risk, there are health concerns. Yale University reports that living near a natural gas well can increase the likelihood of skin and lung related issues. As with so many controversial activities there will be a flood of data from both sides of any argument, but if those against fracking are proved right, we may see the claims start rolling in.