Market Trends of Norway Cyber (Liability) Insurance Industry
This section covers the major market trends shaping the Norway Cyber (Liability) Insurance Market according to our research experts:
The General Data Protection Regulation (GDPR)
GDPR is an EU regulation, it will have direct applicability and direct effect in all EU member states. Norway, however, is not an EU member state but a member of the European Economic Area (EEA) and a different procedure, therefore, applies before the GDPR can become part of Norwegian law. Norway, in fact, already has some sector-specific data protection rules. The Personal Data Act and its regulations have 'inter alia' specific rules which limit an employer's access to its employees' e-mail and other electronic workspaces, rules on video surveillance, and rules on the processing of personal data by credit information services. In the health sector, Norway has several statutes which have data protection implications such as the Personal Health Data Filing System Act and the Health Research Act.
GDPR fines were found to be insurable in only two countries, Norway, and Finland, out of the 30 European countries. The EU's Privacy Regulation (GDPR) places greater demands on understanding the company's risk exposure in this area and will significantly increase the economic consequences of cyber-attacks for all companies.
Increase in Digitalization Leads to Rising Cybercrimes
96% of all Norwegian are online, more than 90% embrace new technology, and 6 of 10 feel capable of judging what is safe to do online. Still, cyber-crime costs Norway approximately NKR 19 billion annually. At the same time, 73.9% argue that the Internet will not be safer even if their personal computer is secure. It is found that most Norwegians accepts that their online activities may be monitored by the authorities. But less than half the population believe the Police can help them if they are subject to cybercrime, and 4 of 10 sees cyber activists play a role in the fight against cybercrime and cyberwar. 44% of the participants in this study say that they have refrained from using an online service after they have learned about threats or security incidents. This should influence digitalization policy.
Norway is the 5th most digitized country in the world and thus has the potential to gain 24MNOK2 per year because of a 10% increase in digitalization. At the same time, cybercrime costs Norwegian society large sums every year. Digitalization has the potential to create economic growth and welfare through national and global trade, and more efficient public services. However, this potential is nearly eliminated because of an increased level of cybercrime. When adding the fact that foreign powers are stealing Norwegian technology research and development, the very thing our future generation will base their economy on, it is important to safeguard and protect national ability to freely utilize the tremendous power that lies in digitalization.
Cybersecurity software is programs that monitor user behavior or know threat activities, and that enforce technical security controls on the behalf of the user. Most are familiar with anti-virus and firewalls, but numerous other programs can aid the user towards a more secure online experience. Hence, companies need to have cyber insurance in Norway.
