The Insurance Commission is encouraging companies to get cyber insurance coverage as the threats of privacy breach and cyber attacks are real. While the country’s Data Privacy Act of 2012 and the Cybercrime Prevention Act of 2012 could benefit businesses in terms of protecting against cyber security crimes, insurance commissioner Dennis B. Funa said averting data privacy infringement and cyber attacks should be part of a company’s risk management.
Funa particularly pointed out the BPO industry, saying that it is one of the sectors in greatest need of cyber insurance protection, as it deals primarily with data. According to Michael F. Rellosa, executive director of Philippine Insurers and Reinsurers Association (PIRA), cyber insurance is a new kind of coverage that covers everything related to cyber crimes.
PIRA said cyber insurance has become a need, citing local and international surveys identifying cyber threats as a major concern for business owners. Funa, however, said that only a few companies are taking out cyber insurance policies.