The launch of a new cyber insurance platform by Lexasure Financial Group and OneDegree Global is intended to strengthen cybersecurity defenses for companies operating in South and Southeast Asia.

The platform incorporates cutting-edge risk assessment technology to improve digital insurance services and provides a reinsurance-as-a-service (RAAS) solution.

Through the agreement, a fully digital client experience is provided by utilizing the companies’ technology know-how and cyber risk assessment capabilities.

This comprises expedited procedures for qualified small and medium-sized businesses (SMEs), ranging from risk assessment and onboarding to underwriting and policy issuance.

According to Lexasure, the platform’s integrated cyber risk exposure scanning tool enhances the technology risk assessment process by offering a security posture score.

With the help of this functionality, SMEs will be able to provide policies instantly and have a simpler onboarding process.

A Cisco study states that in the previous year, 56% of SMEs in the Asia-Pacific area had to deal with a cyber incident.

According to the International Association of Insurance Supervisors’ (IAIS) Global Insurance industry Report 2023, cyber insurance still accounts for less than 1% of the insurance industry overall in Asia and Oceania.

Even though a lot of SMEs want to increase their spending in cyber insurance, coverage gaps are still a big problem.

Businesses may have strategies in place to guard against ransomware attacks and email intrusion, but they may not address data breaches.

Lexasure CEO Ian Lim said: “With increased digitisation, Asian businesses are increasingly vulnerable to cyberattacks and ransomware. These attacks can cause devastating financial losses and irreversible brand damage – highlighting the critical need for cyber insurance.”

“The digital domain is facing an unprecedented escalation of cyber threats as digital technology continues to permeate every aspect of our lives,” stated Michelle Ip, CEO of OneDegree Global.

“Particularly for small and mid-sized companies, they are confronted with a critical challenge where a significant portion of cyber risks remains uninsured or underinsured.”

OneDegree and Dubai Insurance collaborated at the end of the previous year to offer digital asset insurance in the United Arab Emirates.

“Lexasure and OneDegree launch cyber insurance platform ” was originally created and published by Life Insurance International, a GlobalData owned brand.