Cyber risk is a major concern for the not for profit and care sector, an expert has said.
Mark Saunderson, area director (Canberra), at
Gallagher, said that cyber risk remains one of the biggest areas of concern for the not for profit and care sector.
“I think cyber risk, like most other sectors, is going to be an emerging risk in this sector,” Saunderson told Insurance Business. “With the amount of information these organisations transact and hold, it is one that we are still seeing a big gap in.”
Saunderson added that with mandatory breach notification set to take effect in February 2018, those within the care sector need to address their cyber issues before it is too late as they will not be exempt from the new law.
“I think there is more awareness in this sector than in others that we work across, and certainly it is getting attention at the board level which is great to see, but as it stands right now, there is still a big piece of work to do around risk management strategies as well as insurance,” he remarked.
Last week, Gallagher announced that it had formed a strategic partnership with National Disability Services (NDS) as their endorsed insurance broker. Dr Ken Baker, chief executive of NDS, praised the partnership as a way of guiding members through a testing transition period.
“In this time of great change it is crucial NDS is best equipped to assist our members with all aspects of their organisations,” Dr Baker said. “This includes understanding risk and required insurance.”
As part of the deal, Gallagher has unveiled a new product called SmartProtect Care, which also offers liability coverage for another key risk facing the industry.
“When you are dealing with vulnerable people, there are risks that come with that,” Saunderson continued. “It is the elephant in the room for a lot of these organisations but abuse and molestation is of real concern. Whether it is a sole trader or an organisation, we have some level of cover which NDS are quite specific around for those organisations or sole traders.”
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