Financial organizations are adapting to complex cybersecurity environment

The U.S. Securities and Exchange Commission also adopted rules in July 2023 that require all public companies to “disclose material cybersecurity incidents they experience and to disclose on an annual basis material information regarding their cybersecurity risk management, strategy, and governance.”

As cybersecurity threats constantly evolve, banks and other financial services companies continue to adapt, fortifying their own defenses while addressing risks involved in working with vendors and other third parties.

“Most insurance companies are looking at mitigation strategies focused on technology as well as policy improvements,” says Marlene Dailey, an RSM financial services senior analyst focused on the insurance space. “The days of patching up legacy systems are gone; companies are looking to invest in new systems that will protect against cybersecurity threats from a proactive risk mitigation perspective.”

Getting ahead of cyberthreats requires conducting more regular cybersecurity risk assessments, honing a robust regulatory compliance strategy, and updating processes and procedures as needed, she says.