South Korean government boost cyber insurance

Tinuku ~ The South Korean government is providing insetives to promote cyber insurance to corporations and other digital service providers. The Ministry of Science, ICT & Future Planning of South Korea has signed a research agreement to accelerate the growth of the cyber insurance market, which is estimated to be worth 30 billion won (US$26.4 million).

Tinuku South Korean government boost cyber insurance

The government said a deal with the Consortium of Computer Emergency Response Team had been signed last week to ease rules and expand cyber insurance services.

Cyber attacks will not be predictable and will attack anyone. The last few weeks the world has been shaken by WannaCry ransomware attack that crippled hundreds to thousands of systems around the world. Some reports said the source of the attack came from North Korea.

But currently only a few insurance companies like AIG and Samsung Fire & Marine Insurance are serving basic cyber insurance products to ensure damage and loss due to hacking and the like.

Some companies may pay less attention to their investment in security. The Ministry plans to link insurance companies with information security service providers and provide incentives to policyholders.

Discount insurance premiums for those who participate in the information security management system are under review although this is a matter that should be determined by each insurance company.

The Use and Protection of Credit Information Act says financial institutions in South Korea should be held responsible for leaking personal information with a guarantee of 2 billion won to 0.5 billion depending on the size of the institution.