The insurance sector generates large volumes of data that comes from a myriad of sources (policy records, claims, social media, credit reference agencies, sensors) with a requirement to be processed and analysed to be able to more accurately access and price risk. Exploiting this data has unlimited advantages- fraud reduction, tailored policies and improved customer segmentation.
In line with consumers expectations towards all things digital, as well as various ways in which data is being collected, stored, processed and analysed, cyber risk contributes to vulnerability as more and more data is accumulated.
In a highly regulated market, insurers would need to provide a comprehensive data governance solution in place with appropriate controls to ensure that relevant processing meets existing and evolving data privacy regulations.
Cryptography plays a major role in the implementation of secure systems: confidentiality, integrity and authentication.