AWS’ New Cyber Insurance ‘Industry-Shaping’ Program: 5 Big Things To Know
‘Customers who choose to leverage hardened infrastructure on AWS, coupled with a partner who can guide and implement the right security posture with AWS-backed cyber insurance as the backstop, is an untouchable offering in the market,’ says Justin Copie, CEO of AWS partner Innovative Solutions.
Amazon Web Services is diving headfirst into the cyber insurance industry by launching a new program that guarantees customers a security insurance quote within two days, tied with massive revenue opportunities for the channel.
“I call this an industry-shaping moment,” AWS’ Ryan Orsi, worldwide head of cloud foundations for the AWS Partner Network, told CRN. “At this company, we do have a history of looking into market segments and technologies that are in need of reinvention. I would say the cyber insurance industry is in need of reinvention for the era of cloud.”
At AWS re:Inforce Tuesday, the $85 billion global cloud market-share leader unveiled its new AWS Cyber Insurance Program. The program is aimed at helping AWS customers improve their security posture and get insured as quickly as possible—streamlining the sometimes-painstaking process of getting a customer the cybersecurity insurance it wants or needs.
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Cyber Insurance Premiums High, Coverage Limits Low
AWS’ Orsi said current cyber insurance policies include “a ton” of paperwork and back-and-forth communications that can last months, while at the same time there’s a general lack of understanding of how things operate in the cloud between the two companies. “So unfortunately, it’s resulted in insurance premiums being higher than expected and insurance coverage limits being lower than expected,” he said. “The biggest [group] of companies that are affected by this manual process are the small to medium enterprises around the world. There’s millions and millions of them.”
The new AWS Cyber Insurance Program streamlines the entire procedure, thanks in part to the AWS Security Hub, with partners reaping the benefits.
Justin Copie, CEO of Innovative Solutions, an AWS partner, said many small to midsize businesses are struggling to obtain, and even keep, their cyber insurance in 2023.
“It’s been increasingly difficult due to the overall increase in threats,” said Copie. “AWS launching this program aimed at making it easier for customers to get better, faster cyber insurance will be met with significant praise and excitement. … Customers who choose to leverage hardened infrastructure on AWS, coupled with a partner who can guide and implement the right security posture with AWS-validated cyber insurance as the backstop, is an untouchable offering in the market.”
Here are the five most important things partners, insurers and Amazon customers need to know about AWS’ new Cyber Insurance Program in terms of which insurance providers will be included, official designations and the channel opportunities ahead.