27Aug

Infographic: 5 Ways Travel Has Changed

COVID-19 is here to stay and so has the way we will all travel. Aside from the mandates and health documents that vary per country or region, travel behaviour is also expected to undergo several shifts.

This infographic shows 5 ways travel has changed – perhaps permanently.

Need help with travel insurance and other personal policies? We help expats find the best ones in Hong Kong.


Infographic: How Covid 19 has changed travel

8Aug

4 Factors to Consider When Buying Cybersecurity Insurance

Risk awareness is paramount when shopping for the right cybersecurity policy for your business.

As “work-from-anywhere” becomes the norm, insurance providers in Asia have started revisiting current policies and integrating more cover for remote teams and increased digital interactions between team members.

For risk managers, we recommend noting these four considerations when selecting a cover:

1. Identify your business’ specific risks.

Start by making evaluating your weak points online. The nature of these risks will be essential in determining the right type of cover for you. Remember that insurance policies will differ based on your industry.

Unlike other types of insurance, deductibles in a cyber insurance policy are based on a specific timeframe, usually 72 hours, instead of an amount.

Look for an insurance policy that specifically covers potential damages from, say, cloud-based storage of payment information, customer data, or other sensitive information.

How secure are financial transactions such as wire transfers? Check if the policy will cover your risks in case you’re a third-party vendor for payments.

2. Does your business practice BYOD (Bring Your Own Device)?

Again, with more businesses shifting to remote offices or a hybrid work set-up, it’s very likely that employees will be taking company-issued devices with them. In case of loss or theft, will your cyber insurance policy cover the potential cost of, not just the device, but more importantly, the information saved in those devices?

Do you trust your team to manage sensitive data as they would their own? Have they been educated to practice security practices?

3. The value of the insurance and triggers

Do the maths to get the average cost of one stolen record with sensitive or confidential information and multiply that by the number of sensitive records you have in storage plus a projected number of growth in the next two years (at least). That is the amount your cyber insurance should cover.

On top of the value amount, make sure to ask what will trigger the insurance. Will the policy take over only with a deliberate attack, or will any type of breach like an unintentional human error trigger it?

4. Consider buying cyber insurance from a one-stop-shop 

Unless you already have a firm helping you secure your system, might we recommend getting a policy from an insurance provider that can also provide cybersecurity? Partnerships between insurance companies and cybersecurity firms have become more common in the Asian market.

Cybersecurity companies may offer a service that audits a company’s current capabilities so they can make policy applications easier for insurance agents. It is a mutually beneficial partnership that will give all parties involved an advantage and it will make it easier for businesses to cover all their bases in one go.

One-stop shops may also offer custom policies with add-ons that can fit your need. We can help you find the best ones so feel free to inquire here.

Email us or chat with us for more questions about personal and business insurance for expats in Hong Kong.

18Jul

An Infographic on the Hidden Toll of Remote Work

We’re seeing an emergence of new physical and mental problems now that companies have moved to remote work or a hybrid of in-office and work-from-home set-ups.

This infographic shows data on recently conducted surveys among workers in Hong Kong, Singapore, Malaysia, Japan, and the UK.

 

Village Insurance Direct: Infographic on the hidden mental toll of remote work during the pandemic

15Jul

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.

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

 

9Jul

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.

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

 

 

6Jul

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.

18Jun

What You Should Know About the Revised Compensation Items Under the Employee’s Compensation Ordinance in Hong Kong

A Resolution was passed at the Legislative Council meeting last March 17th, 2021 to change the levels of compensation of nine (9) compensation articles under the Employee’s Compensation Ordinance. This is a compulsory provision and all employers must comply.

Employers will have additional liability starting April 15, 2021.

What you should know:

> Your insurance provider will have to charge an additional premium estimated at around 2% of the initial cost up to the end of your Employee Compensation Insurance policy.

> Additional gross premium will be acquired.

> Additional gross premium less than HK$200 will be waived

> Employees’ Compensation Insurance Levies & Premium Levy (if applicable) will be charged on top of additional gross premium

Items under the Employees’ Compensation Ordinance

The increased levels of compensation will enhance the protection for employees injured at work or sufferers of occupational diseases as well as family members of deceased employees or persons who die of work injuries or occupational diseases.

For more information about how the new ordinance will affect your current policies, get in touch with us today.

15Jun

Cyber Insurance Outlook in the Next 5 Years

The need for cyber insurance has grown especially with the business shifts that occurred due to the pandemic. Remote work and the increasing technological and operational demands of businesses has also highlighted the importance of insurance for any type of business.

Given the current state of Asia (and the world), here are our predictions for the next five years for insurers as well as businesses in terms of managing cybersecurity.

Immense industry growth is ahead.

Most if not all businesses agree that there will be an increase in cyber insurance premiums. Standard & Poor’s Corp. stated that they foresee an increase of 20% to 30% per year on average in cybersecurity premiums.

The recent hacking at Colonial Pipeline resulting in a US$4.4 million ransom makes a strong case for companies to revisit and evaluate their current online security and the lack of infrastructure in place to protect them from such breaches.

A Standardized Cyber Insurance Cover

Cyber insurance covers differ in limits, features, and terms. At the moment, these variations are not fully intentional and is a normal part of the industry’s process of learning and adapting. Having said that, this current state also poses challenges for policyholders who may not understand which policy they need for their business. It also results in issues for reinsurers in evaluating their exposure to varied risks.

We see a more stable outlook in 2025 with the language and terms used for cyber insurance. As the market hardens, policy providers have already avoided ambiguous terms that may result in confusion for the insured.

In addition, regulations for cyber insurance will be more mature and regulatory bodies will enforce higher standards of information collection and will require regular reporting about cyber risk exposure.

Flexible Policies As the Norm

COVID-19 has taught many providers that rigidity and failure to adapt can do plenty of damage. As a solution to the current and very likely future events, we predict policies that offer monthly premiums or credit plans for add-on features based on regular reevaluated risks as well as incentives for taking preventative actions.

Cyber Insurance Providers Will Have Dedicated Cyber Risk-driven Models

Hackers will continuously find more and more ways to breach systems alongside the efforts to reduce cyber attacks. This means more complicated and highly dynamic risk assessment models for insurance providers in the foreseeable future.

A huge cyberattack is always impending and it can very well happen before 2025. Knowing this reality, we foresee providers investing in dedicated talents who specialize in cybersecurity to provide comprehensive risk models.

Companies worldwide have now been propelled to enter and quickly grasp a fast-moving and highly digitized facet of business transactions.

Alternative and cyber insurance products will become more interesting, flexible, and specialized. The task at hand for insurance providers is to innovate and design the right products to bridge market gaps that leave businesses exposed to the next attack.

Need help finding the right insurance plan for your business in Hong Kong? Contact us today.

25May

Infographic: The Cybersecurity Shortage

The projected loss from cyber attacks worldwide is forecasted to be in the trillions in 2021. With many companies shifting to virtual offices – some even permanently – malware, phising, and other forms of data breaches will most likely increase. However, data shows that there’s an alarming gap between the need for tighter cybersecurity and the number of organizations that understand its importance.

The infographic below provides impactful statistics and proposals to shorten the gap.

Sources:

https://www.varonis.com/blog/cybersecurity-skills-shortage/

https://www.protectwise.com/post/survey-suggests-younger-generations-including-females-may-fill-the-cybersecurity-talent-gap/

https://www.varonis.com/blog/cybersecurity-statistics/

5May

Understanding the Risks of Managing an e-Commerce Business and the Insurance You Need

E-commerce has had a huge impact in Asia even throughout the pandemic. People have been able to buy and purchase products overseas sans a physical store. The requirement of having a brick-and-mortar store has taken a backseat for many small business owners as well as large retail corporations.

And as is the case with anything emerging, the industry’s growth brings with it new risks that may not have existed a decade ago.

The fact that the e-commerce industry is growing at an incredibly fast pace is yet another reason for online retailers to make sure that they are protected from the many risks that can come with such rapid growth. According to recent studies, e-commerce sales increased to $4.058 trillion in 2020 and made up more than 14% of total worldwide spending.

Covid-19 has played a crucial part in this growth with lockdown and physical restrictions that encourage consumers to shop online.

So what are the risks involved?

1. Cybersecurity – e-commerce is one of the most targeted industries of cyber attacks, with 32.4% of all cyberattacks targeting this industry. Ecommerce stores are known to hold highly sensitive information such as a  buyers’ credit card information and home address.

Online shopping sites are liable for these types of breaches which can result in millions of dollars worth of lawsuits, especially for large companies. Having the right cyber insurance is a must-have.

2. Product Liability – Any product or service can malfunction and result in some form of injury or accident. Defective products or the lack of hazard warnings are grounds for legal liability even if you’re not the direct manufacturer. Online retailers have to remember that as long as you are part of the distribution chain, you may be deemed responsible.

Some companies have been opting to get insurance called Technology Errors & Omissions Insurance. This type of insurance combines product liability and cyber insurance, therefore addressing incidents involving physical injuries caused by a product, and the unauthorized disclosure of proprietary information, respectively.

Aside from product liability insurance, it’s recommended that companies purchase D&O insurance to have an added cover for directors, officers, and other decision-makers in the company in case of lawsuits.

3. Intellectual Property Issues – Copied designs and the use of copyrighted material (even if one does it unknowingly) can lead to legal problems for e-retailers. In fact, an e-commerce store can face liability related to a third party’s ad that’s seen on its website. A general liability insurance can cover these issues.

If your business keeps and receives shipped goods in a warehouse via a third-party provider, or if you ship your products directly to customers and other distributors, then cargo insurance may also be something to consider. This insurance covers your business from loss of inventory while in storage or shipping.

Need more information about the insurance you need for your e-commerce business? Get in touch with us today.