Today the marine industry sector is progressively susceptible to digitalization, operational integration and automation. Given that approximately 90% of the traded goods are transported by the international shipping industry, the safety of shipping vessels is critical to the global economy. In this digital era, the increased importance of IT infrastructure and electronics leads to the necessity of redesigning the threat or risk management processes. The emerging cyber insurance that are affecting the marine sector. This makes a significant way to consider Cyber risks cover under Marine Insurance.
As the ransomware crisis of 2020 surges on, the hackers are narrowing their focus on marine sector organizations due to perceived lagging investments in cybersecurity and the potential for significant operational disruption. With India being the world’s business transhipment hub and a primary node in the global supply chain, it is essential that the marine sector here needs to be well-prepared against the threats of cyber attacks, which are enhancing more sophisticatedly.
Modern Marine Insurance & Cyber-security risks
Cyber-security risks in modern marine insurance are becoming increasingly prevalent as the shipping industry becomes more reliant on technology. Here are some risks and key protection measures include:-
- Data breaches and unauthorized access: Cybercriminals may target marine insurance companies to gain access to sensitive data, such as customer information, policy details, and financial records. To protect against this risk, companies should implement robust cybersecurity measures, including firewalls, encryption, access controls, and regular security audits. Employee awareness training and strong password policies are also essential.
- Ransomware attacks: Ransomware can encrypt critical data and systems, making them inaccessible until a ransom is paid. To mitigate this risk, companies should maintain up-to-date backups of important data and systems, stored separately from the main network. Regularly updating and patching software, employing advanced endpoint protection, and conducting security assessments can help prevent ransomware attacks.
- Phishing and social engineering: Cybercriminals may attempt to trick employees into revealing sensitive information or gaining unauthorized access through phishing emails, phone calls, or other deceptive means. Organizations should educate employees about phishing techniques and provide regular training on identifying and reporting suspicious activities. Implementing email filters, web filtering, and multi-factor authentication (MFA) can also reduce the risk of successful phishing attempts.
- Supply chain vulnerabilities: The maritime industry relies on a complex supply chain involving numerous interconnected systems and devices. Each point in the supply chain represents a potential vulnerability. Employing a risk-based approach, organizations should assess and monitor the security of suppliers, contractors, and any connected devices or systems. Regular vulnerability assessments, security audits and penetration testing can help in identifying and addressing weaknesses.
Other Risks Cyber risk cover under Marine Insurance
- Insider threats: Employees or contractors with authorized access can pose a significant cybersecurity risk. Implementing strict access controls, monitoring user activities, and conducting background checks can help mitigate insider threats. Regular employee training on cybersecurity best practices and maintaining a strong security culture within the organization are also essential.
- Regulatory compliance: The marine insurance industry is subject to various regulations and data protection laws. Companies should ensure compliance with relevant standards, such as the General Data Protection Regulation (GDPR) and industry-specific guidelines. Regularly reviewing and updating policies and procedures to align with changing regulations is crucial.
Each marine insurance company should conduct a comprehensive risk assessment and develop a tailored cybersecurity strategy to address its specific needs and challenges. Moreover, engaging with marine insurance broker companies such as SecureNow and staying informed about emerging threats & risks and also cyber security policy, which can enhance the overall security posture. For further info, about Cyber risks cover under marine insurance in India, find the information on our website or talk to our experts now!