We’re entering uncharted waters in the cyberspace, and hackers are ready to rock the boat.
Alternative investment markets are overcrowded with providers, each offering a unique kind of expertise and service, and each just as important as the next.
With so many different providers to choose from, it’s becoming increasingly difficult to pinpoint risks. The situation only worsens in complexity when you treat these providers as isolated entities instead of connected parts of a greater cyber ecosystem.
Two key cyber risk management tools can help you better understand where your cyber services overlap:
- Cyber risk assessments: a solution designed for independently analyzing the cyber strength of your entire business and portfolio, including third-party vendor risks.
- Cyber insurance: critical protection that can save you from losing revenue if and when a cyber-attack or data breach occurs anywhere in your operational and investment chain.
But how can you achieve the necessary level of visibility without running up costs?
Cyber insurance, in particular, is not known for its cost efficiency.
Between 2019 and 2022, insurance premiums surged to cover the rising costs of data breaches and increasing loss ratios. Yet, even as loss ratios have decreased, premiums have remained high.
At the same time, new insurance carriers have entered the scene to add more capacity, leading to more competitive pricing and improved policy terms.
The only catch?
To score a lower premium, you must prove the strength of your cybersecurity practices.
Insurers recognize that sound cyber hygiene keeps loss ratios low, and they are willing to compete for companies that can demonstrate the effectiveness and scope of their cyber strategy.
Cyber risk assessments and cyber insurance can help you in this matter when combined into a united front. Rather than treating these tools as separate programs, pairing them together can enhance the overall value of your cyber program and guarantee a more efficient budget.
Aligning cyber security programs with insurance policies has helped companies to lock in as high as a 15% to 20% reduction in their insurance premiums.
When discussing cyber risk assessments specifically, the most important factor influencing effectiveness is the lack of a bias. For your assessments to cover the most ground, you need an independent provider who can validate the strength of your strategy.
With a solid set of security controls, validated by an independent cyber risk assessment, you can gain more cost-effective coverage — and Drawbridge can support you every step of the way.
We tailor our cyber risk assessments to the complexity of your business, no matter the size or scope of your cyber ecosystem. Whether you use one provider or 100, we can aid you in assessing your biggest risk areas and implementing better cybersecurity standards and checkpoints where they’re needed most.
Cyber risk will continue to be a challenge in the years to come, but it doesn’t have to bleed you dry.
