Mihail Nikolov, chief expert in "Property Insurance, Cyber Insurance, and Fronting,": "Cyber insurance has undergone an evolution."

The insurance products in the field of cyber insurance that we have offered in the Bulgarian insurance market since 2014 have undergone their natural evolution and have changed over time in accordance with all trends and changes in the industry. We always prioritize providing reinsurance coverage for all our clients, following the trends of the global reinsurance market. In our view, trust between the insurer and the insured is established over time and is the foundational element of a successful business model.

Increasingly, we are having important conversations with our potential clients about what needs to happen before, during, and after a breach in information security. This is evidence that a process is beginning to shift the conversation from cybersecurity to cyber resilience. During discussions about cybersecurity, the focus is on the preventive measures that the client needs to take to mitigate the risk of a cyber attack, while during discussions about cyber resilience, the focus is on the holistic approach to necessary urgent actions before, during, and after a cyber attack.

The two insurance products we currently offer cover two main groups of companies based on their areas of activity:

• For IT companies and IT contractors, we offer the "Cyber Tech Smart" insurance.

• For companies outside the IT industry, we offer the "Cyber Smart" insurance.

The insurance coverage of both products is identical, with the main difference being the offering of the "Professional Liability" risk under the "Cyber Tech Smart" insurance. The insurance coverage includes the following main risks: breach of the insured's information security, damage to the insured's reputation, costs for damage mitigation, cyber extortion, liability for media publications, liability to third parties in the event of a breach of the insured's information security, and costs for notifying third parties.

Globally, cyber insurance is the most dynamically developing sector of the insurance industry. The exponential growth of technology is the primary reason for the creation of new products, new services, new processes, new business models, new regulations, and new complex risks to analyze.

Insurance companies recognize the need to adapt to the new needs of their clients. Clients also need to undergo a period of awareness regarding the risks facing their activities in the context of increasing exposure to cyber risks.

You can read the entire interview here.