Mr Lawrence Wong, Minister for Finance and Deputy Chairman of
the Monetary Authority of Singapore
("MAS"), has emphasised in his speech at
the Singapore International Reinsurance Conference 2021, the need
for the insurance industry to work closely with the cyber security
industry and policymakers, to better assess and quantify cyber risk
and to formulate risk insights in line with evolving digital
technologies and developments, creating more reasonably priced
solutions with proper coverage for firms.
Mr Wong noted that cyber risk had increased with the growth
of the digital economy. Asia is vulnerable, and the region alone
has accounted for over a quarter of global cyber-attacks in 2021.
The costs of cyber breaches are staggering, as such cyber-attacks
not only damage a firm's technology assets, but also cause
financial and reputational losses, constraining future business
growth. Cyber insurance therefore forms a part of a holistic cyber
risk management strategy.
