How Useful Is Cyber Insurance When Preparing for a Ransomware Attack?
Some Vendors Offer Warranties Along with Cyber Insurance Policies
Cyber insurance is a growing trend and, in many cases, an operational requirement. However, some healthcare organizations don’t have the resources to self-insure. For smaller organizations, there are still ways to reduce the cost of cyber insurance premiums. Tony Roberts, senior solutions engineer at CDW, notes that some third-party security providers, such as Rubrik, offer warranties that insurance companies recognize as extra assurance of an organization’s data protection strategy.
In April, Rubrik made two groundbreaking announcements about its ransomware warranties. In a press release, Rubrik noted, “With the rapid growth of cyberattacks, organizations share the same concern: ‘If we get hit by ransomware, can we recover?’”
The company’s response was to increase the value of warranty it offers as part of its cyber insurance policies. “Rubrik is confident in our data security solution and committed to a shared responsibility between customers and software vendors,” the release notes. “As such, we are putting more skin in the game by doubling our warranty to $10 million.”
In addition, Rubrik issued a separate press release to announce its partnership with Zscaler to offer a double extortion ransomware solution. “Rubrik’s integration with Zscaler Data Loss Prevention proactively identifies sensitive business data across enterprise, cloud and SaaS environments so that specific data protections can be implemented easily to prevent data loss,” the release noted.
Read more in the CDW white paper “How to Increase Your Ransomware Recovery Capability.”
Some Larger Organizations Can Self-Insure Against Ransomware
While cyber insurance can help to defray the costs of a ransomware attack, it also can be a beacon to cybercriminals, indicating a willingness to pay the ransom the criminals intend to demand. In some cases, organizations might want to consider self-insuring to protect themselves in the event of a ransomware attack.
“Self-insurance basically becomes a line item in the budget,” explains Jason Cray, data protection strategist at CDW. “They budget and say, ‘We already pay…
