King Price’s head of legal at King Price
What had the biggest impact in 2017?
Small- and medium-sized businesses are very important in South Africa and make a huge contribution to our economy. They have been very ‘exposed’ in our economic climate over the past few years and are now also exposed to cybercrime, which has
Highlights for King Price in 2017 are launching our business insurance division, which covers more or less all the risks for these businesses and launching our unique cyber insurance product.exploded not only in SA but also worldwide.
King Price cybersure covers risks that businesses can’t cover under their existing short-term insurance. Things like criminals hacking into computer systems, stealing client info and demanding a ransom to unblock data; viruses that can bring businesses to a standstill; legal liability towards third parties because of the misuse or abuse of cyber assets; and the costs incurred to get a business going again after falling victim to cybercriminals.
Cybersure cover also includes legal assistance to defend liability to third parties in the cyberspace; expensive legal and forensic consulting services to assist businesses that have fallen victim to cybercrime; assessors’ costs; repair costs; and loss of income due to business interruption after a cyber incident.
Sectors to watch out for next year?
Cyber insurance is very relevant in the times we live in. IBM did a survey, in conjunction with a big reinsurer, and the outcome is that one in every three businesses will fall victim to cybercrime. King Price is working on offering our clients cyber cover in their personal capacities, in the near future.
In the current global climate it’s difficult to single out the positives, but which of these changes and advances do you consider to be positive for the industry?
It’s exciting that there are so many players in our short-term insurance market. This ensures more competitive premiums for our clients and will also lead to innovation on how short-term products are structured in the future.
King Price is a good example of this, being the first (and still only) insurer to decrease car premiums monthly in line with a car’s depreciating value. We also offer a major discount on the second, and subsequent, car that our clients add to their policies. Exciting things to look out for in the future will be liability insurance for autonomous vehicles.
It looks like we might be moving into an era where it will be more convenient and economical for consumers to use public transport, like Uber and other services. This may lead to people not having personal cars to insure anymore, and short-term insurers would have to change their focus.
The hurdles to overcome?
It’s going to be imperative to stay relevant and competitive and to be able to adjust quickly to the rapidly changing market.