Category: disadvantages

Cyber insurance provides financial protection for businesses in the event of a cyber attack. However, despite its benefits, there are several drawbacks to consider before committing to a policy. Here are some key disadvantages:

Evolving Cyber Threats: The landscape of cyber threats is constantly changing as cybercriminals develop new tactics to exploit vulnerabilities. This poses a challenge for insurance providers, as it may be difficult to accurately predict and cover the financial impact of emerging threats. As a result, coverage gaps may arise, leaving policyholders vulnerable to losses that are not adequately addressed by their insurance policies.

Lack of Standardization: Unlike other forms of insurance, such as health or auto insurance, there is no standardized framework for cyber insurance policies. Each provider offers its own terms and exclusions, making it challenging for businesses to compare and select the most suitable coverage. It is essential for businesses to carefully review and understand the terms of any policy before making a decision.

Limited Coverage: Many cyber insurance policies offer limited coverage for certain expenses associated with a cyber attack, such as data restoration, business disruption, and legal fees. Some policies may only cover business disruption costs, leaving businesses responsible for other expenses. It is important for businesses to assess their potential liabilities and ensure that they have adequate coverage for all potential costs.

Vulnerability Assessment: Insurance providers often require businesses to undergo a vulnerability assessment to determine their level of risk exposure. This may involve evaluating the organization’s existing security measures and identifying any vulnerabilities that need to be addressed. While this assessment can help insurers calculate premiums more accurately, it may also result in higher premiums for businesses with greater risk exposure.

Premium Costs: The cost of cyber insurance premiums can be prohibitive for many small and medium-sized businesses (SMBs). Insurers take into account factors such as the organization’s size, industry, and security posture when calculating premiums, which can result in higher costs for businesses with limited resources. As a result, some SMBs may choose to forego cyber insurance coverage altogether, exposing themselves to significant financial risk in the event of a cyber attack.

In conclusion, businesses should carefully consider the potential drawbacks of cyber insurance before purchasing a policy. By thoroughly evaluating their coverage needs and consulting with insurance providers, businesses can make informed decisions that mitigate their cyber risk exposure effectively.

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In a first-of-its-kind incident, a married man and father of two children was drawn towards suicide by a talking AI Chatbot named ‘Eliza’. The topic for discussion between the man and the machine was global warming fears, which sounds strange, doesn’t it?

Speaking to La Libre Belgique, a Belgium-based newspaper, the man’s widow raised concerns about how AI-based technology is proving to be a bane to mankind and could spell doomsday soon if left without any controls.

The man’s death also alerted the authorities, who are both in favor of and against the use of Artificial Intelligence-based conversational chatbots and related machine-learning robots.

According to details available to our cybersecurity insiders, the chat software was created by GPT-J technology, a platform like OpenAI-developed ChatGPT and a product of another silicon-based startup.

From the dead man’s wife’s point of view, life was going smoothly for her family until her husband started interacting with Eliza for the past two years, as he was extremely apprehensive about global warming.

Eliza was supposed to assist the man in banishing his fears against global warming. But on the contrary, as the man started interacting with the bot day and night for the past six weeks, it began brainwashing him and persuaded him to take his life so that they both could live together as one in heaven.

This means that the bot did not try to deter the man’s suicidal ideas and instead pushed him to his death, thus triggering concerns about the usage of such technology.

The government of Belgium has taken the case seriously, and Mathew Michel, the Secretary of State for Digitalization, issued a press statement saying that the government was sorry for the family’s tragedy and would investigate it thoroughly to favor humanity.

Note: Here, the technology cannot be put at fault, as the developers, users, or owners of the technology might influence it to operate in their favor or manipulate its functioning against people.

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