Reportedly, Indian manufacturers employing Industrial Internet of Things (IIoT) solutions pay premiums of a little over $8,000 a year for $1 million worth of coverage
In the world of internet and innovation, business with the help of web has become quite popular with industrial robots, wireless connectivity and large-data operations driving efficiencies. However, on the other hand its negative aspect is a matter of worry for these businesses i.e the unsecured resources.
Metals, capital goods, chemicals and electronics industries have become prey to cyber security risks as investments in manufacturing systems that incorporate connected devices, or Internet of Things (IoT), increase. Resulting to which, manufacturers are rushing to prioritize cyber security in their overall information technology spending.
According to Seqrite, the enterprise security arm of Pune-headquartered Quick Heal Technologies, Threat actors are “increasingly targeting non-information technology industries, such as automobile or manufacturing, because such industries give secondary preference to cyber security.” Seqrite stated in a recent report on cyber security trends during the second quarter of the ongoing financial year that Indian manufacturing companies detected the most malware among the sectors surveyed, at more than 28%.
After shifting to Cloud infrastructure and services, manufacturers have become more vulnerable to cyber-attacks, analysts said. Increased digital connectivity means manufacturers face threats from various quarters, they said. Peter Bendor-Samuel, chief executive officer, Everest Group, an IT advisory and research firm stated, “The threat has now become very apparent to the manufacturing sector, which faces risks from the malevolent hacking of their IoT investments to the intellectual IP theft from China and other rogue states.”
Abhijit Katkar, Partner, Cyber Risk Services, Deloitte was quoted saying, “There is an increasing awareness that security isn’t a one-time affair. Companies understand that it is not only about securing and monitoring their assets but also about building resilience.”
According to a report by Data Security Council of India, an industry body on data protection, for large enterprises including the likes of Tata Steel and JSW Group, premiums for cyber security insurance have reduced due to increased competition. It stated, Indian manufacturers employing Industrial Internet of Things (IIoT) solutions pay premiums of a little over $8,000 a year for $1 million worth of coverage.
The sectors willing to adopt predictive threat management however expect to avoid disruptions as these cost millions of dollars in detection, remediation, reputation, customer trust, market value and higher costs of cyber insurance.
Stay tuned for more updates.