Banks provide Cyber Liability Insurance as cashless transactions hike

In digital world, cyber threats are on the rise for banks with increasing cashless transactions and effects of demonetisation. This is despite the fact that the industry base for cyber insurance is currently as low as Rs 60 crore.

Insurers have been discussing on cyber insurance covers which are available in all over the country. But, what about cyber liability insurance? For this matter, Banks are initiated to provide cyber liability insurance for all customers.

SBI managing director Rajnish Kumar said that “We have always seen maximum security in all our IT systems. We are now considering to avail cyber insurance covers for our customers”

Few months before, one of the biggest ever breaches of financial data in the country, customers of 3.2 million debit cards belonging to different banks such as SBI, HDFC Bank, ICICI Bank, YES Bank and Axis Bank were hit by cyber frauds where their ATM details were compromised.

Bank of Baroda, which had seen around 1 lakh of its debit cards being compromised in the recent days, is also keen to go for such insurance covers in future. Bank of Baroda MD & CEO, PS Jayakumar told that, “We are here to ensure protection of our customers and hence we will definitely go for cyber insurance cover as and when it was required for the bank”.