Cyber Insurance in Thailand: What Businesses Need to Know

Cyber threats are evolving, and businesses worldwide are facing an increasing number of sophisticated attacks. Recently, I attended a cyber insurance conference in Bangkok hosted by the Howden Group, where industry experts discussed the growing importance of cyber insurance and how businesses can protect themselves from financial and operational risks. While cyber insurance is a rapidly developing industry, particularly in my home country of Australia, many businesses in Thailand are only beginning to explore its value.

As the cybersecurity landscape shifts, so too must the way organizations approach risk management. Cyber insurance is one piece of the puzzle, but it should not be viewed as a substitute for strong cybersecurity practices. Instead, the two go hand in hand: insurers are now demanding higher security standards before providing coverage, and businesses that invest in proactive security measures can often lower their premiums and improve their insurability.

The Rise of Cyber Insurance in Thailand

While cyber insurance is a mature industry in countries like Australia, where many companies now view it as a standard part of their risk management strategy, Thailand is still in the early stages of adoption. Many businesses here are still unaware of the requirements needed to qualify for coverage, or they assume that simply having a policy means they are fully protected against cyber threats. However, insurers are increasingly requiring businesses to have essential security controls in place, such as:

- Multi-Factor Authentication (MFA): A necessary safeguard to prevent unauthorized access.

- Regular Data Backups: Ensuring business continuity in the event of ransomware attacks.

- Email Security & DMARC Implementation: A critical defense against phishing and domain spoofing.

- Incident Response Plans: Having a clear, tested strategy for responding to breaches.

Without these security measures, businesses may find it difficult to obtain coverage, or may face higher premiums and limited policy benefits.

Cybersecurity & Cyber Insurance: Two Sides of the Same Coin

One of the key takeaways from the Howden conference was that businesses need to rethink their approach to cyber risk. Many organizations believe that purchasing a cyber insurance policy is enough, but in reality, cyber insurance is designed to mitigate financial loss, not prevent cyberattacks. That’s where cybersecurity comes in.

At Raso Cyber, we help businesses strengthen their security posture, making them both more resilient to attacks and more attractive to insurers. By implementing the right cybersecurity measures, organizations can not only reduce their risk of breaches but also qualify for better cyber insurance policies with lower premiums.

For example, a strong email security setup (including DMARC, SPF, and DKIM) can significantly reduce the risk of email fraud and impersonation attacks, a major concern for insurers. Similarly, a well-defined incident response plan can demonstrate preparedness, which insurers often look for when assessing risk levels.

What Thai Businesses Should Do Next

For Thai businesses, the time to act is now. Cyber threats are growing, and cyber insurance is becoming an increasingly important part of a robust risk management strategy. However, businesses need to ensure they meet security standards before they can benefit from comprehensive coverage.

- Evaluate Your Current Security Posture: Are you implementing essential security measures that insurers look for?

- Strengthen Your Defenses: Investing in cybersecurity solutions like email security, network monitoring, and access controls can improve your insurability.

- Understand Your Policy: Not all cyber insurance policies are created equal. Ensure you understand what is covered and what security measures are required to maintain compliance.

Final Thoughts

The cyber insurance industry is developing quickly, both in Thailand and globally. While it plays an important role in risk management, it is not a substitute for cybersecurity. By taking proactive steps to secure their businesses, Thai organizations can not only reduce their exposure to cyber threats but also improve their standing when it comes to obtaining cyber insurance.

At Raso Cyber, we specialize in helping businesses implement the cybersecurity measures they need to stay protected and compliant. If you're looking to strengthen your defenses and improve your eligibility for cyber insurance, get in touch with us today.