The Association of British Insurers (ABI) claims the UK can take the lead in the global cyber insurance market by establishing a central database of cyber incidents.
The ABI believes a national, anonymised database of this nature will be crucial if the UK is to emerge at the head of the cybersecurity market, which has a potential value of $20 billion.
The suggested database would be run on a not-for-profit and contain details of cyber incidents such as business interruption losses, ransom demands, loss of confidential data and damage to IT systems.
A cybercrime database like this would be a world first, building on the requirement in the European Network Information Security Directive for certain firms to provide notification of cyber incidents from 2018 by anonymising the data and making it available to insurers.
The ABI believes that insurers could use this data to improve pricing, while the increased availability of data on cyber attacks could also help the insurance market grow, increasing choice for consumers.
“The UK insurance industry has always been at the heart of new markets, but the lack of data is a huge inhibitor to the UK being at the core of the cyber market.” Huw Evans, ABI’s general director, said.
“Nothing hinders the growth of an insurance market more than a lack of data. More data can help stimulate the cyber insurance market, giving greater choice to businesses in insuring against cyber losses.”