CYBER RISK MANAGEMENT Be Cyber Ready
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CYBER RISK MANAGEMENT Be Cyber Ready QUICK FACTS – TOKIO MARINE HCC – CYBER & PROFESSIONAL LINES GROUP • $250M GWP for cyber and professional lines • Underwriting cyber for 10+ years • $150M GWP Cyber • Insure and reinsurance entities across the US • Experienced Claims Dept handling over 2,000 cyber matters per year • Superior Financial Strength Our Offices NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 2 ] 2021 NAMIC Farm Mutual Forum - Khoury Page 1 of 9 WE KNOW RISK… • Laser focus on Specialty products and services • Highly specialized underwriting and claims teams with deep technical knowledge • Lean and decentralized business structure • Consistent high‐quality performance • Global capabilities and local expertise • Diversified portfolio NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 3 ] Why is Cyber important? NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 4 ] 2021 NAMIC Farm Mutual Forum - Khoury Page 2 of 9 CYBER THREATS TO FARMS New vulnerabilities to crop and livestock Some potential threats: sectors that was once mechanical: • Cyber attacks can inhibit the planting and • Data collection cultivation of crops • Crop sensors and measurement status • Auto steering and guidance • Compromised data could interfere with the • Yield monitor transportation and processing of ag • Variable rate technology • Ransomware could shut down farming • Bio sensing technology for livestock systems and operations for an unknown • Automated feeders period of time • On‐board computer and navigation tracking • Drone surveillance • A phishing attack allows a bad actor to steal • Precision agriculture and publish internal data • Growing dependence on IoT NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 5 ] ANATOMY OF A RANSOMWARE ATTACK • Emotet > Trickbot > Ryuk Attack • Emotet provides a beach head in the victim’s system to launch the more elaborate attack. • Installs Trickbot ‐ spread through spam emails • Has compromised over 250M email accounts Once Trickbot is launched, it tries to steal login credentials • It is also used as a “dropper” to install other malware like Ryuk ransomware • Communicates with a command‐and‐control server • Can provide a backdoor for hackers to access & control the infected computer. Very difficult to detect, because this connection looks like bnormal we traffic. • Hackers gain access to the company’s network • The big difference between ransomware attacks now, and a couple years ago is how the hackers manage the attack • Automated vs controlled by the hacker. • Attacker uses compromised credentials to login to VPN or remote desktop connection • Or via backdoor created by a malware infection like Trickbot or Emotet • This can bypass firewall and 2FA protected VPN NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 6 ] 2021 NAMIC Farm Mutual Forum - Khoury Page 3 of 9 ANATOMY OF A RANSOMWARE CLAIM CONT. • Once they have access to company’s network, they: • Elevate network privileges by skimming admin account passwords • Explore network to figure out how things are being backed up, find where important data is stored • Delete or encrypt backups • Have also been known to reach out to cloud backup provider with a compromised email account and ask them to wipe backup • Deploy ransomware throughout the organization’s network. NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 7 ] Cyber Coverage 8 2021 NAMIC Farm Mutual Forum - Khoury Page 4 of 9 WE KNOW CYBER LIABILITY FOR FARM OPERATIONS • NetGuard Farm Cyber Protection is designed as an add‐on product to augment your farm policy form with robust cyber protection • Hybrid Commercial Cyber Liability and Personal Cyber Protection to meet the specific and unique needs of farmers Personal Coverage Commercial Coverage • Identity Theft Expenses • Multimedia Liability • Credit Card Fraud, • Security and Privacy Forgery, Cyber Crime • Privacy Regulatory Defense • Cyber Bullying and Penalties • PCI DSS Liability • Breach Event Costs • Network Asset Protection • Cyber Extortion • BrandGuard NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 9 ] Take Control 10 2021 NAMIC Farm Mutual Forum - Khoury Page 5 of 9 WHAT CONTROLS DO WE VIEW AS ESSENTIAL 2FA on all remote access to a farm’s network Endpoint Detection & Response / Next Generation Anti‐Virus Advanced email filtering to filter out malicious attachments Truly Segregated/Disconnected Backups NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 11 ] 2FA ON ALL REMOTE ACCESS What is 2FA? • Two‐factor authentication (also known as 2FA) is a type, or subset, of multi‐factor authentication • Method of confirming users' identities through a combination of two different factors 1. Something they know (like a password) 2. Something they have (like a phone or key) 3. Something they are (like FaceID) • A good example of two‐factor authentication is the withdrawing of money from an ATM • Only the correct combination of a bank card (something the user has) and a PIN (something the user knows) allows the transaction to be carried out NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 12 ] 2021 NAMIC Farm Mutual Forum - Khoury Page 6 of 9 ENDPOINT DETECTION AND RESPONSE SOFTWARE AND NEXT GEN ANTI- VIRUS SOFTWARE What is EDR? • Endpoint detection and response solutions record system activities and events taking place on endpoints and provide security teams with the visibility they need to uncover incidents that would otherwise remain invisible • Response features are important ‐ if there is a persistent threat, the company’s network admin can see what endpoints are being targeted, and not rely on the endpoint's end user raising the alarm. What is next generation anti‐virus • Next‐Generation Antivirus (NGAV) uses a combination of artificial intelligence, behavioral detection, machine learning algorithms, and exploit mitigation, so known and unknown threats can be anticipated and immediately prevented. • NGAV is cloud‐based, which allows it to be deployed in hours instead of months, and the burden of maintaining software, managing infrastructure, and updating signature databases is eliminated. NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 13 ] EMAIL FILTERING What is Email Filtering? • Spam filters detect unsolicited, unwanted, and virus‐infested email (called spam) and stop it from getting into email inboxes • 94% of malware is delivered by email • Malware can be delivered via a link in the email or within an attachment • Hackers frequently make the attachment look like a MS Office file • Dedicated filtering solutions tend to do a more thorough job, than the native functionality • Example, O365 has basic spam filtering, but Microsoft Advanced Threat Protection is a big upgrade that combines robust virus scanning, with phishing email detection, etc • Providers include: Proofpoint, Mimecast, Check Point CloudGuard, Microsoft Advanced Threat Protection, Sophos Email Security, and Ironscales NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 14 ] 2021 NAMIC Farm Mutual Forum - Khoury Page 7 of 9 SEGREGATED/DISCONNECTED BACKUPS What do we consider truly segregated/disconnected? • Cloud hosted solution with one‐way data flow, that is not mounted to their network. This is the gold standard • Mounted Drives vs dedicated backup solution –How are they different? • Tape Backups ‐ although it can take a longer time to recover • Disconnected local backup ‐ what does that backup process look like? • Network segmentation with robust 2FA security can also work well • Traditional backup strategies were designed to protect against equipment failure • Hacker infiltrations often result in deleted or encrypted backups • Potentially problematic responses to backup method • Local backup? Ask how does this work? • Network Drive? Ask how they ensure ransomware doesn’t spread to the network drive? Does it require special role‐ based access, if so, do they utilize 2FA on those authorized accounts? NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 15 ] ADDITIONAL RESOURCES NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 16 ] 2021 NAMIC Farm Mutual Forum - Khoury Page 8 of 9 WHAT’S NEXT? Implement these controls & Purchase the right cyber insurance Train your staff Access risk management solutions improve your cyber hygiene policy and contact your RI broker and NAMIC Cyber Resource center NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 17 ] THANK YOU! Q&A NATIONAL ASSOCIATION OF MUTUAL INSURANCE COMPANIES [ 18 ] 2021 NAMIC Farm Mutual Forum - Khoury Page 9 of 9.