When it comes to cybercrime, Thailand is the second biggest target in the world, says AGCS (Allianz Global Corporate and Specialty SE).
Approximately 20% of cybercrime victims in the country reported losses that totaled over USD$100,000 last year. Another 4% claimed losses between $1 million and $100 million in 2015, says Paul Davis, AGCS’s chief financial officer in Asia.
“The local cybercrime rate has risen sharply over the past two years, resulting in a jump from fourth to second place,” Davis said.
Bangkok is a primary target for hackers in the Asia-Pacific region, but Thailand as a whole is one of the top 25 malware targets in the world.
Davis says 29% of Thailand’s SET-listed companies were fraud victims last year, with damages including employee fraud and external hacking.
According to AGCS’s latest cyber report, computer crimes cost the global economy nearly $445 billion in 2015. The 10 largest economies in the world accounted for half that total.
In Asia, China accounts for $60 billion of that total, while India accounts for $4 billion.
Davis urges Thailand businesses to prepare for an entirely new set of risks, which are quickly evolving. Moving beyond the threats of privacy issues, data breaches and PR damage, businesses must now focus on circumventing threats that interrupt business operation, damage operations and even lead to catastrophic losses.
Improved IT security and proper employee training can help minimize the risks, Davis says. While he notes that insurance cannot take the place of IT security, it can serve as a second line of defense to minimize the impact of cybercrimes.