Specialty insurer CFC says data breach notification rules have driven a 107% jump in new Australian cyber business this year.
“We attribute much of this growth to awareness of the… legislation surrounding notification, along with greater understanding of how policies respond in providing costs to manage such incidents,” International Cyber Team Leader Lindsey Nelson said.
The notifiable data breach laws, which took effect on February 22, require organisations to inform affected individuals if a breach is likely to result in serious harm.
They must also alert the Office of the Australian Information Commissioner, which says 242 breaches were reported in the three months to June after only 63 in the partial first quarter.
UK-based CFC, a Lloyd’s managing general agent, says businesses are recognising that cyber policies provide post-remediation services and training tools to prevent problems caused by human error.