Cybersecurity Risks to Get Worse

Warren Buffett,CEO of multinational conglomerate Berkshire Hathaway said that cybersecurity risks will get worse in the years to come.

Cyber is uncharted territory. It’s going to get worse, not better.There’s a very material risk which did not exist 10 or 15 years ago and will be much more intense as the years go along

Buffett said at the company’s annual meeting held at Omaha city in the US state of Nebraska .Cybersecurity incidents would rise and with it the potential to significantly harm the insurance industry.

He does not want much underwriting exposure to cybersecurity threats for Berkshire’s insurance businesses.

Warren Buffett

According to the executive, the company has a “pretty good idea” on how to properly assess the probabilities for earthquakes in California and hurricanes in Florida, but not with computer hacking threats.

The investor expressed scepticism that any insurance company can assess the risk for cybersecurity events, the CNBC report said.

Buffett also announced that Berkshire Hathaway has acquired another 75 million shares of Apple and now has 5 per cent stake in the company.