As cyber security tools have become more advanced and effective, so have hackers’ efforts – so much so that cybercrime has now surpassed illegal drug trafficking as a criminal money maker and is reportedly costing SA in excess of R5,8-billion every year.
According to global cyber-security firm Symantec, in 2013 there was a 92% increase in targeted global online attacks. Bringing this closer to home, in the 2013 Norton Cybercrime Report, South Africa has been ranked as the third leading cybercrime hotspot in the world.
Known for its progressive pioneering approach to business, and in response to the increasing burden organisations are facing as a result of cybercrime, Camargue is launching a new Commercial & Cyber Crime division. This new entity will have a dedicated strategic focus on these exposures, and provide comprehensive risk management solutions responding to all aspects of commercial and cybercrime.
“There is a natural fit for commercial and cybercrime which have several grey areas of overlap and common exposures, so it makes perfect sense to provide a product offering where there aren’t any gaps in cover. With a dedicated division committed to these exposures, to innovating new solutions, to being first by being Camargue, we believe there is enormous potential for success,” says director of the division, Catherine Berry.
McAfee reports indicate that in South Africa, cybercrime has an economic impact equal to 0,14% of the GDP and costs between 0,5% and 0,8% of the global economy. The cost of cybercrime will continue to increase as more business functions move online and as more companies and consumers around the world connect to the Internet.
Berry says that cyber espionage includes more than just the loss of financial assets, and extends to include the loss of IP, confidential business information, recovery costs, innovation cannibalisation, and as significant – the cost of lost opportunities! “The magnitude and reach of cybercrime goes beyond a simple claim – yet another reason for bundling commercial and cybercrime under one umbrella.”
Disrupting business operations and significantly impacting the way a company operates, cybercrime damages trade, competitiveness, innovation, and global economic growth.
Camargue’s new division is busy developing several new products to provide cover that is currently missing in the market: a comprehensive commercial and cybercrime product, phishing extensions (another Camargue industry first in SA), as well as an identity theft product for individuals.
“According to IT experts, without a sophisticated security package, an unprotected PC can become infected within four minutes of connecting to the Internet. For organisations and individuals alike, to be complacent about online security, is equivalent to leaving cars and homes unlocked in a high crime neighbourhood,” says Berry.
“Security studies repeatedly show that the biggest internal threat stems from a sense of complacency with employees who assume that the company will protect them online. Many employees in South Africa see IT security as a barrier rather than an enabler for business – stifling innovation and making it harder to collaborate and do their jobs – so they just don’t comply. Others are simply ignorant of the real risks.”
Cyber threats are coming from everywhere and organisations have to be prepared and while there may be fewer South African hackers – they are just as good as their European counterparts.
“The launch of this division is an example of Camargue’s commitment to true empowerment of staff and presents huge growth opportunities for our team. We have set our sights on becoming the commercial / cybercrime experts in the South African insurance market in the next three to five years – if not sooner,” concludes Berry.
