Cyber insurance a blessing in disguise

With the advent of technology, life has become easier, but at the same time, the presence of cyber criminals is worrying people. We get messages, e-mails and phone calls asking us to update our KYC, and sometimes fraudsters ask for debit and credit card details telling us that cards will be blocked if we don't share the details. Even educated people fall prey to their calls and subsequently land in trouble. So, cyber insurance will come in handy if we are taken out for a ride by cybercriminals.

Hyderabad:With the advent of technology, many people store their personal information on computers and phones. In unexpected circumstances, sometimes their information may fall into the hands of cybercriminals, who misuse the data and withdraw money. In order not to get into trouble when we face with such difficulties, taking a cyber insurance policy will be like a blessing in disguise.

Though we take precautionary measures while using computers and phones, cyber thieves are stealing the data with new types of fraud. To keep them at bay, you should install the right software on phones and computers, apart from that don't forget to take out a cyber insurance policy. Anyone above 18 years of age can get this insurance. One can take a policy worth Rs 1 lakh to Rs 1 crore. Let's see what to keep in mind while choosing these policies.

For cards...the policy should be selected only after checking whether the cyber security cover is applicable in case of any fraud during the use of credit, debit cards, or QR code scanning. For instance, we will get messages stating that if the KYC regulations are not followed, your bank account/credit card/debit card will be blocked. Once we click on a link in an e-mail or a message, money will be withdrawn from your account or card. In such situations, the insurance policy will cover the financial loss.

In case of identity theft...personal information stored on phones or computers is stolen and fraud is committed through it. The cyber policy should protect in such cases. For example, suppose a person's PAN or Aadhaar details are misused by cyber fraudsters. The insurance company has to bear the financial loss incurred. This should be checked while taking insurance.

On social media platforms...if identity details are taken from social media platforms and a cyber attack is committed, there should be an insurance policy to cover the costs of getting protection from this. Compensation should also be provided for expenses incurred in case of personal harassment.

Protection from malware:Information from our devices can go into the hands of others through malware that enters phones and computers through short messages or e-mails. Usually, cyber thieves steal usernames, passwords and credit card details. The policy covers all the losses incurred in such cases. You should keep this in mind while taking the policy. Cyber insurance also pays for the cost of restoring computer software and data in the event of a malware attack.

Apart from this...

Cyber insurance covers the disclosure of your photos and videos on digital devices, compensation for the resulting consequences, treatment of any mental and physical problems caused by cyber crimes and payment of expenses, says TA Ramalingam, Chief Technical Officer, Bajaj Allianz General Insurance.