Unified Payment Interface (UPI) has revolutionized cashless transactions, offering a seamless way to make online payments. However, with its increasing popularity, UPI has also become a target for fraudsters. Understanding common UPI scams and adopting essential safety measures can help protect your finances. Common UPI Frauds Phishing Scams: Fraudsters send emails or SMS containing malicious links. Clicking these links can result in automatic debits from your account or malware infections on your device. Remote Screen Monitoring: Downloading untrusted apps can lead to privacy violations and data leaks. These apps can access UPI information and steal sensitive data from your phone. Fake Calls: Scammers pose as bank officials, requesting your UPI PIN or urging you to download third-party apps for "verification." This can compromise your account and personal information. Unverified Links: Hackers send links to "request money," tricking users into entering their UPI PIN. This can expose your financial information to cybercriminals. Safety Measures Maintain Proper Privacy: Never share your UPI PIN or any sensitive information over calls or messages, even if the requester claims to be from a reputable entity. Authentic organizations will never ask for your PIN. Secure Browsing: Use official websites to find customer service numbers. Scammers often create fake websites that look legitimate to deceive users into providing personal information. Verify Contacts: Ignore calls or messages from unverified sources claiming to be bank officials. Regulatory bodies like the Insurance Regulatory and Development Authority of India (IRDAI) or the Employee Provident Fund Organization (EPFO) do not send such messages. Spam Warnings: Heed spam alerts from UPI apps. These warnings indicate potential fraudulent activity and help you avoid suspicious transactions. Regularly Change Your UPI PIN: Update your UPI PIN every three months to enhance account security and reduce the risk of unauthorized access. Consider Cybersecurity Insurance: Cyber insurance protects against data breaches and cyberattacks. Businesses handling sensitive data, particularly in sectors like health and finance, should consider this coverage. The Future of Cyber Insurance As cyberattacks become more sophisticated, insurers are encouraging proactive cybersecurity measures. Businesses with robust cybersecurity protocols are more likely to receive favorable insurance terms. Cyber insurance is becoming increasingly essential, especially for industries dealing with highly sensitive information. Conclusion In a digital world, vigilance and proactive measures are key to protecting yourself from UPI fraud protection. Consider cybersecurity insurance for added protection. If you encounter fraud, report it through your UPI app's "Help" section or contact the nearest cybercrime center. Stay informed and cautious to enjoy the benefits of digital payments while safeguarding your financial security.
The evolution of financial technology or fintech, such as the digitalization of banking and insurance processes, has increased online fraud. Cyber security breaches have become a common occurrence and a cause of concern. Cyber insurance can help you mitigate these cyber-attacks. In India, cyber insurance companies offer cyber insurance coverage for both individuals and corporations. In other words, a cyber insurance policy covers the fees and all legal costs that have to be borne by an individual or an organization facing cyber breaches and if they have been hacked, and also the theft or loss of personal or official information. Covers individual losses With the increased online activities, hackers can target you with ads/ links that carry malware or with phishing emails that threaten to compromise your data security. Insurance companies, thus, have cyber insurance policies to cover your financial losses due to these online frauds. If there is a cyber-attack or hacking of the insured’s bank account, credit card, debit card, or mobile wallet or UPI account by a third party, cyber insurance also provides coverage to mitigate the same. It also covers extortion or ransom losses due to the cyber extortion danger and criminal prosecution costs. Simply put, cyber insurance policies in India cover all types of monetary losses due to e-theft and e-communication. Covers social media hacking costs Alongside covering the costs of dealing with an identity theft case, cyber insurance policies also offer protection against hacking of the insured’s social media by a third party and making claims against the insured. It even covers legal expenses incurred in pursuing legal action against cyber bullies or stalkers. Exclusion Cyber insurance policy does not cover any loss or damage insured by different insurance firms. It also does not cover mechanical failures such as electric disturbance, media failure/breakdown, a digital shutdown of online applications or any malfunction of a similar kind. Cyber insurance will not cover an insured’s fraudulent act or deliberate breach of law or regulations. To Conclude A cyber insurance policy covers your monetary losses and your legal defence expenditure incurred while complying with the legal formalities. Since hackers are coming up with brand new ways of creeping into your online data, which can compromise your security, cyber insurance would be an excellent strategy to stay protected online.