SMBs do not see the need for cyber insurance because they do not experience security incidents.

Small and medium-sized businesses (SMBs) believe they will never encounter a cybersecurity incident and are unaware of the need for cyber insurance.

Thirty-nine percent of SMBs in Singapore say they have not considered or are undecided about protecting against cyber risks, with half saying this is because they are less likely to face cybersecurity or cybercrime issues. increase. Another 54% said they don’t need cyber insurance because they don’t store sensitive or personal data online.

These findings are from a survey of 416 decision makers in local SMBs commissioned by Singaporean insurer QBE Insurance Group and conducted by Creative Way Consultants. The annual survey was conducted last quarter.

in a clear shortage Passion for cyber insuranceHowever, 97% say they are aware of potential cyber risks to their business. About 21% expressed concerns about data protection and security, and 38% admitted to being affected by cyber incidents last year, up from 26% in 2021.

According to the survey, nearly 9% of respondents said they operate without processes or insurance against cyber risk.

However, digital transformation remains a major concern, with 66% of SMBs embarking on digital initiatives in the past year. Another 34% said they would continue to invest in digital technology to reach more customers, 32% said they would do so to grow their business, and 32% said they would go digital to increase productivity. I was.

Not surprisingly, 29% of SMBs cite high investment costs as a barrier to digital initiatives. About 27% cited a lack of funds and 24% indicated a lack of funds. Lack of digital skills as a barrier. A further 23% saw potential business disruption as a barrier, and 21% highlighted the complexity of digital technology.

Another 21% recognize the need to ensure data protection, Security as a Barrier to Digital Transformation.

SMBs have been targeted by cybercrime in Singapore. Makes up the majority of victims affected by ransomware attack. Notably, the majority of reported ransomware cases in 2021 came from his SMBs in sectors such as manufacturing and IT.

According to a survey last year by Coleman Parkes, Singaporean companies: Addressed 54 cybersecurity incidents On average, 39% manage 50-200 such incidents per day. About 62% say they struggle to keep up with the evolving threat landscape.

a Report from Trend Micro It was estimated last week that the Asia-Pacific region experienced the most ransomware attacks last year, with 38.06% of such attacks targeting the region. About 18.9% of ransomware victims in Asia Pacific chose to paycompared to global averages of 10% and 11.1% in Europe, which had the lowest ransomware payout rates.

Of the 14 billion threats it blocked in Asia last year, more than 1 billion were in Singapore alone, Trend Micro said. Mobile his security issues ranked highest in Asia.

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