With over 3,500 companies to choose from, navigating the cyber security market can be a challenge. The level of detail and diligence involved in reviewing products can feel like a strain on company time and human resources.
Announced today by The Wall Street Journal, a collection of major insurance companies are unfurling an initiative to make the cyber security selection process easier for clients.
The insurance companies will develop an evaluation framework to analyze and rate the offerings of various cyber security firms. The framework will focus on “…risks such as data breach, business interruption, data corruption and cyber extortion.”
Cyber security companies will need to apply to have their products evaluated.
The advantage for insurance companies is that more cyber insurance buyers will choose sophisticated, high quality software and service purveyors, potentially reducing the number of cyber insurance claims. For cyber security companies, the rating chart may encourage business and lead to reinforced initiatives to outpace the competition.
The program offers clients “…greater confidence that they are implementing cyber security tools that have a meaningful impact on reducing the cyber risks they face,” an industry leader explains.
Corporate clients that utilize the rating system may qualify for improved terms and conditions, potentially enabling companies to allocate greater financial resources to other priorities. Now that’s a good deal.
Product recommendations are slated to emerge in the second quarter of 2019.
Get the full story from The Wall Street Journal.