SECP issues guidelines for businesses to counter cyber crimes

• Cyber risk presents an evolving challenge for the insurance sector due to growing interconnectedness, said SECP.

In order to mitigate the risk of hacking and other forms of cyber attacks, the Securities and Exchange Commission of Pakistan (SECP) has issued guidelines on cybersecurity framework for the Insurance sector, in order to make the information technology systems of insurance companies and their partners secure and resilient.

Cyber risk presents an evolving challenge for the insurance sector due to growing interconnectedness, said SECP in a statement.

“Insurance companies gather, store, and maintain substantial volumes of confidential personal and organizational information. Because of these data reservoirs, insurers may become potential targets for cybercriminals.”

SECP was of the view that its guidelines will provide a principle for the formulation of a sound cybersecurity framework to anticipate, withstand, detect, prevent and respond to any possible cyber-attacks.

The suggested measures include the appointment of Chief Information Security Officer and obtaining cyber risk insurance other deployments of other adequate cybersecurity systems. SECP said that the cybersecurity guidelines will aid in improving the privacy and confidentiality of the information stored and handled by insurers and will ultimately contribute to enhancing the policyholders’ confidence in the insurance sector.

The guidelines are available here.