Why CISOs Need to Make Cyber Insurers Their Partners

Why CISOs Need to Make Cyber Insurers Their Partners

December 27, 2023 at 10:05AM

The relationship between cyber-insurance providers and policyholders is strained due to the complex underwriting process and rising premiums. Cyber insurance is still in its early stages, experiencing growing pains. To establish a partnership, both parties need to focus on risk reduction and share electronic metrics for accurate policy pricing. Trust and collaboration are crucial.

From the meeting notes, it is clear that there are significant challenges and tensions in the relationship between cyber-insurance providers and policyholders. The discussion highlights the strain caused by a lengthy underwriting process, rising premiums, and the difficulty in accurately assessing and managing cyber risks. It also underscores the need for a shift towards a more collaborative and transparent approach to address these challenges.

One of the key takeaways is the necessity for both insurance providers and policyholders to work towards a common goal of risk reduction. This requires a more reliable and data-driven approach to underwriting, as opposed to the current complex and volatile methods. The suggestion to use electronically gathered metrics to provide a more accurate snapshot of an organization’s cyber posture is a significant proposal for improving the underwriting process.

Furthermore, the meeting emphasizes the importance of building a partnership between insurance carriers and CISOs. By engaging in regular dialogue and sharing information, both parties can work together to improve the underwriting process, policy pricing, and claims processing. This highlights the need for a shift in mindset, where CISOs are encouraged to treat cyber-insurance carriers as partners rather than adversaries.

In conclusion, the meeting notes stress the need for a more collaborative and data-driven approach in the cyber-insurance industry to address the current challenges and build a stronger relationship between policyholders and insurance providers.

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