On Wednesday 12th October, McClarrons’ Development Manager, Steven Swift, presented to specialist rural insurers and brokers at the Federation of Agricultural Brokers’ (FAB) National Conference, discussing both the risks of cybercrime and the insurance protection currently available.
Steven spoke alongside Jennie Williams, Cyber Protect Officer at the North West Regional Organised Crime Unit, who talked about the threats and risks of cybercrime including ransomware, social engineering and telephone hacking. Jennie explained the emerging and very real nature of the threats that businesses are facing and what action rural businesses can take in order to combat these threats and protect their organisations.
Steven followed this by discussing some of the cyber-related claims that McClarrons have seen being made by their clients, he said: “Our concern, as a broker, is that this is the fastest growing type of crime and people need to understand the risks fully so that they can ensure they have preventative measures in place. We are seeing a growing number of enquiries from concerned business owners regarding crime including IT, payment systems and phone networks.”
Recently, the Office of National Statistics announced that nearly 6 million fraud and cyber crimes were committed in England and Wales last year alone, making fraud the most reported offence during last year. The severity of cyber crime became even more apparent on hearing from Jennie Williams; the dedication police forces are showing in the battle against such fraud illustrates the need very clearly. Jennie noted that: “The unit also have dedicated Cyber Protect Officers who work with business, education and the general public to raise awareness of the potential risk and impact of Cyber Crime, along with the simple steps that can be taken to prevent them becoming victims” – evidence that awareness and education is key. Jennie also suggested that organisations join CiSP – a platform which allows members across sectors and organisations to exchange cyber threat information in a secure environment.
Debbie Airey, one of the Founding Members of FAB, said of the seminar: “At our recent FAB conference we were delighted to invite Steven Swift from McClarrons to educate us on Cybercrime. To be honest you don’t realise the importance of this insurance, especially in a sector who may not be a as technically advanced as others. But the risks are equally, if not more important. It also offers a cutting edge as a broker and an opportunity to provide independent advice and even more value.”
Steven Swift added, “It is vital to make sure that the insurance industry evolves with cybercrime. Cyber insurance products are available already but many share common pitfalls, for example cyber and crime can often be separate and clients talk about cyber risks when they actually mean crime and vice versa. There is a huge opportunity here for brokers working in the rural sector to really understand the risks their clients are facing and to offer them independent advice.”
This morning, the BBC reported that the government will be putting £1.9billion into their cyber security strategy. The strategy will involve enlarging specialist police units to help protect against organised online gangs, recruiting more than 50 specialists to work within the cyber crime unit at the National Crime Agency and creating a Cyber Security Research Institute that brings researchers across the UK’s universities together to improve defences.
Chancellor Philip Hammond will formally be launching the National Cyber Security Strategy later today, he notes that Britain “must now keep up with the scale and pace of the threats we face”.
Professor Alan Woodward, a computer security expert from the University of Surrey, has said that “high volume, low sophistication attacks” plague people and cause the majority of financial losses; he hopes the budget will be spent on reducing these types of crimes primarily, as well as growing talent to help combat the threats posed by cyber crime.
We at McClarrons will be very interested to see what Chancellor Hammond has planned for our national cyber-defence grid as the risks are prevalent and ever-increasing. It is important that we work together to educate clients of the risks involved and how they can help to prevent such crime, as well as protect themselves against it.
If you would like to discuss the risks and the protection available to you and your business, please do not hesitate to contact the team at McClarrons on 01653 697055.
