Virtual scams are an unwanted constant of modern life. Few of us – if anyone – spend their days without receiving texts, calls, e-mails or contacts from suspect sources, whether promising startling wins (such as lotteries we never bet on), notifications of “debts” we were unaware of or even a bulky inheritance of far-fetched origin.
In Brazil alone, virtual insecurity is borne out by the 38% increase in the number of scams in the first quarter of this year, as pointed out by the Check Point Research platform[1]. Globally, losses are estimated at $10 trillion, according to Cybersecurity Ventures.
Needless to say, this worrying reality is not kept within the bounds of small personal scams on the networks, but mainly includes attacks directed at companies. With the digitization of markets, companies have expanded their online presence, which implies a higher exposure to a variety of attacks.
It is mainly this need for online business security that leads the moves in the cyber insurance market. Although large companies have internal departments focused on defending and protecting against cyberattacks, cyber insurance becomes an ally against losses – financial and reputational – that can be devastating.
Good practices and a security infrastructure are key, but they do not guarantee protection in a world as fragile as the digital one. No wonder we have already seen global giants such as Microsoft[2], Uber[3], as well as gas station networks[4], major retail brands[5] and even the Ministry of Health[6] falling victims to virtual attacks in Brazil.
Figures, however, show that small and medium-sized enterprises (SMEs) run the most risk. The fact behind such vulnerability is that these businesses tend to have less sophisticated security systems, besides low investment in preventing such attacks, if any. In 2022, SMEs were the target of 62% of all cyberattacks in Brazil[7].
In the insurance market, we have seen significant growth in the area of cyber insurance. According to the National Confederation of Insurance Companies (CNSeg), the demand for this type of insurance has skyrocketed 880% in the last five years, grossing over BRL 200 million per year[8].
Although there is reasonable optimism about the growth of the cyber insurance market, it is important to note that this reality still applies mainly to large companies. There is still vast potential for expansion for products aimed at medium-sized and small companies, which account for a large portion of Brazilian businesses and are widely affected by these risks, however, for this advance to occur, it is essential to raise awareness of the related risks and further a mindset change concerning investment in cyber protection, which has become a high priority in this scenario.
[1]https://valor.globo.com/publicacoes/especiais/seguros-e-resseguros/noticia/2024/04/30/aumentam-opcoes-de-seguro-para-riscos-ciberneticos.ghtml
[2]https://www.infomoney.com.br/consumo/microsoft-sofre-nova-tentativa-de-ataque-hacker-clientes-correm-risco/
[3]https://g1.globo.com/tecnologia/noticia/2022/09/19/uber-diz-que-hacker-nao-acessou-dados-de-usuarios-mas-baixou-mensagens-de-funcionarios.ghtml
[4]https://www.cnnbrasil.com.br/nacional/rede-de-combustiveis-e-alvo-de-ataque-hacker-milionario-pf-prende-tres/
[5]https://www.cnnbrasil.com.br/economia/macroeconomia/site-da-renner-continua-fora-do-ar-apos-ataque-hacker/
[6]https://www.cnnbrasil.com.br/nacional/site-do-ministerio-da-saude-sofre-ataque-hacker-durante-madrugada-e-sai-do-ar/
[7]https://www.infomoney.com.br/minhas-financas/mais-vulneraveis-pmes-do-pais-ganham-linhas-de-seguro-cyber-contra-ataque-hacker/
[8]https://cnseg.org.br/noticias/protecao-contra-riscos-ciberneticos-cresce-880-em-cinco-anos
Autor: Sergio Luiz Bernardelli Junior • email: sergio.bernardelli@ernestoborges.com.br
