In light of this week's global ransomware attack, the spotlight is once again on cyber-crime and growing concerns on the preparedness of large, complex organisations to respond to an attack.
Danish oil and shipping company AP Moller-Maersk and Netherlands-based shipping and logistics company TNT were amongst the list of casualties. This offers a timely reminder for marine, cargo and logistics companies to review their information security arrangements and ensure that levels of insurance cover are sufficient to meet both current and future needs.
Stephen Rudman, Marine Practice Leader at Gallagher, says: “We are seeing clients actively seeking advice on cyber risk insurance at the start of the conversation, rather than us having to include the topic as a side-note to their general insurance arrangements.
“For marine, cargo and logistics companies, cyber-attacks can occur on a number of fronts – re-routing of vehicles, on-board navigation systems through to container port and logistics data systems. Unfortunately, there is not one fool-proof solution that responds to every risk.
“We are being increasingly asked questions by clients such as:
What is cyber-crime cover?
We know we are exposed but not sure how to deal with this – how do we get started?
Does our current policy have cyber included or is alternative cover available?
“Generally speaking, we would always recommend stand-alone cover. Many insurers offer cyber-crime extensions to existing cover, but a substantial number of these provide insufficient protection. Threats are still emerging. A full blown cyber policy would is always recommended.”
“Cyber risk is relevant to both the large multinational players and the smaller local or regional players alike. The threat and exposure is becoming one that business owners and leaders can no longer ignore.
“There are many people in the market claiming to be a cyber-crime ‘expert’ – we’d question that view in light of cyber being so complex and a risk that is still rapidly emerging.
“The insurance industry is still grappling with the complexity of the risk and significant time and investment is going into developing solutions that anticipate current and ideally future expectations. There is definitely more work to do, and our specialist marine advisors are well equipped to advise clients on next steps.”
Want more information? Let’s talk.
Call 1800 240 432 to speak to one of our friendly marine advisors. Alternatively, visit ajg.com.aufor more information and download the Market Overview Reportwhich contains perspectives on emerging risks in the marine industry.