Month: September 2021

27Sep

5 Ways Cyber Insurance Will Change Cybersecurity

2020 changed the course of cybersecurity and the way we look at cyber insurance. Increased online interactions in both personal and business facets have highlighted possible points of attack on data which can lead to significant loss and security threats.

1. Increased scrutiny on claims and security in phone apps and software

There will be a greater emphasis on explicit details about cybersecurity measures such as employee online security awareness training, dark web monitoring, and verified back-ups (or how a provider stores and secures backup data).

Businesses can also expect cyber insurance providers to conduct network scans to see and experience how secure an app or software appears. Having these basic security measures in place will help cyber insurance providers determine the cost of premiums for a business.

2. Some industries may have a harder time finding insurance cover

Some of these industries are:

– SMBs with a high record count (e.g. medium-scale medical practices)
– Companies that move large amounts of money like manufacturers
– Organizations with historically poor security (e.g. local government units)

This does not mean cybersecurity will be completely inaccessible to these types of industries. It does imply that these groups will have to pay more or will need more effort to find a cover for them.

3. Specific features may be amended or taken out

Many cybersecurity insurers are making changes to help cover areas that may be more prone to risks or they may recommend add-ons for new security requirements.

Check the value of ransomware payments if it matches your business’ needs. Policy limits may be lowered so double-checking this feature is a must.

4. Higher premiums are inevitable but will be a NEED

The end of finding the cheapest cyber insurance came early this year when there was a global shift in how businesses should be looking at cybersecurity and the huge impact of hacking. Acting too late this 2021 will result in higher premiums in the future.

Most companies only think about cyber insurance after falling victim to an attack. Remember that your history as a business plays a significant factor in how much your premium will cost in the end.

Of course, there will still be good deals, especially from the venture capital side.

5. Validation of increased expenses in cybersecurity

This means is companies will have to really look at their liability insurance policies and include cyber insurance as an essential. Zero dollar deductible policies or cheap policies won’t cut it anymore.

Increased budget for the IT department will certainly become a trend with an emphasis on tools for better security measures as well as company training for online safety awareness.

This increased expense is a positive change for both business and consumer in the long run.

We will continue to see more shifts in the cybersecurity and cyber insurance space now that businesses have seriously considered pivoting to hybrid work set-ups. Stay tuned to see our analyses.

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Need help finding cybersecurity insurance for your business in Hong Kong? Get in touch with us today.

 

21Sep

Why Landlords Should Make Renter’s Insurance Mandatory

Leasing out one’s property to tenants has its drawbacks but considering the demand (and returns) for apartments in Hong Kong, the trouble is often worth the minor trouble.

One can never truly know how a tenant will take care of your property once the contract is signed which why making renter’s insurance mandatory can spare you plenty of time and money if problems arise.

Adding renter’s insurance to your lease agreement can increase the cover on your property and lower operational costs long term. Think of it as another line of defence when there’s an emergency.

WHAT CAN RENTER’S INSURANCE DO FOR LANDLORDS AND TENANTS?

Having renter’s insurance helps reduce repair costs in case of fire and other damages due to accidents. It also keeps your own insurance premium low by reducing the claims on the policy.

Knowing that accidents leading to damage to your apartment are covered can also help quickly resolve disputes between landlord and tenant. Blaming the other party is a very common result of property damage and having insurance that relieves the anxiety of losing money saves everyone from unnecessary conflict.

What does renters insurance cover - Village Insurance Direct

In addition to reimbursement of lost items, some renter’s insurance policies may even cover temporary living expenses when there’s a need to vacate the space during repairs.

More importantly, with renters insurance, tenants are less likely to pursue legal actions against you.

It’s a win-win for both.

OTHER SELLING POINTS OF RENTER’S INSURANCE:

1. It’s affordable. One can get insurance for as low as HK$38 a month. Village Insurance can help expats find the best and cheapest policies in Hong Kong.

2. It can cover expensive stuff owned by the tenant like computers, sports equipment, furniture, and more. It’s important to note that a tenant’s personal items won’t be covered by the landlord’s property insurance during a fire or if their laptop is stolen, just because they are not the owner of the apartment.

3. Renter’s insurance can include legal fees and medical payments in case someone (e.g. a guest) claims to have been injured because of the tenant’s actions or negligence.

4. Better landlord-tenant relationships are built when the right insurance policies are in place. With fewer worries, both parties are more likely to stay within the agreement for a longer time.

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Get in touch with us to find personal and business insurance for expats living in Hong Kong.

 

 

14Sep

Infographic: Health & Mental Impacts of Remote Work

A survey by the Royal Society for Public health has some insightful findings on the effects of remote work on employees’ overall health.

These information can be viewed as opportunities for employers to revisit their business pivot strategies as more and more organizations move towards a more remote setting.

7Sep

COVID-19 Common Liability Concerns for Businesses

While the vaccine rollout in Hong Kong is ongoing, COVID-19 still raises several liability concerns for customers or employees who may become sick due to alleged negligence by an organization.

For these types of concerns, it’s necessary to take the following insurance considerations into account:

– Commercial liability insurance— protects your business from financial loss should you be found liable for personal harm (like a customer getting sick) caused by your product or services, or due to business operations in the case of employees. This general liability insurance can cover costs correlated with bodily injuries, damage to third-party property, personal injuries, medical expenses, litigation and more.

In the time of COVID, commercial liability insurance should provide coverage and allow organizations to defend claims. For a claim to be valid, the claimant would have to claim that the virus was contracted due to the organization’s or business’ oversight and detail how, when and where they got sick—all of which may be difficult to prove.

– Directors and officers (D&O) insurance— Shareholders can sue a business in case there’s a failure to respond competently to COVID-19 concerns. Specifically, shareholders may dispute that Directors and Officers failed to plan for adequate contingency plans or detail how the pandemic could affect the company’s finances.

Here’s a recent blog we published with examples of D&O Claims.

It should be noted that most D&O insurance excludes cover for bodily harm but may offer some protection depending on specific accusations. That said, it’s important for businesses to examine the scope of their D&O insurance to verify that they are covered in the event of such events.

EMPLOYEE’S COMPENSATION INSURANCE

In events when an employee makes a claim that they contracted COVID-19 at work, a number of employee compensation factors come into play. For workplace illnesses, most policies only pay out benefits if the disease in question is occupational in nature. This may imply that communicable diseases are generally excluded from most employee compensation policies.

However, a policy may be triggered if the illness came about during the course of employment. Generally, these scenarios are reviewed on a case-by-case basis but could include instances for:

> Healthcare workers who contract COVID-19 at the hospital where they work.

> An airline employee contracts COVID-19 from a passenger.

> A hospitality employee gets COVID-19 that can be linked to a large event at their place of work.

Poor insurance cover or the lack of any type of cover that specifically addresses your business’ liability with COVID will deter you from making meaningful recovery this year. Although there is some positive outlook on financial recovery in Asia, this should not be the time to loosen one’s sense of cautiousness.

Need to update your company’s liability insurance? Get in touch with us today.