Who pays when you get scammed? Insurtech firm gives answer

MANILA — Should banks and insurers help pay when Filipinos lose money to online scams, even if victims were tricked into voluntarily giving away their personal information?

Rob Schimek, Group Chief Executive Officer of global insurtech firm bolttech, believes businesses and insurers must play a bigger role in protecting consumers as cybercrime becomes increasingly sophisticated.

In an interview on ANC’s Startup with Ron Cruz, Schimek revealed that insurers in some international markets can offer protection even when customers voluntarily disclose sensitive information because they do not realize they are being scammed.

He cited the example of an elderly person deceived into sharing personal information with a fraudster, saying regulators and the insurance industry must work together to determine when victims should be covered.

The issue comes as the Philippines strengthens its own rules on financial fraud. Under the Anti-Financial Account Scamming Act (AFASA), banks and other financial institutions are required to strengthen their fraud detection systems and limit reliance on vulnerable authentication methods.

The Bangko Sentral ng Pilipinas has warned that financial institutions that fail to comply with these requirements may be ordered to fully reimburse customers for losses from fraudulent transactions, even if the institution itself was not the scammer.

The rules do not mean banks automatically reimburse every scam victim. Liability depends on the circumstances and whether the institution failed to comply with its legal obligations.

Meanwhile, a 2026 State of Scams Philippines report estimated that Filipinos lose P121.8 billion annually to scams. About 84% of Filipino adults encountered scam attempts in the past year.

Schimek also wants consumers to have easier access to cyber protection through embedded insurance offered when purchasing new gadgets or subscribing to home broadband services.

He said bolttech wants to expand protection beyond mobile phone devices to home Wi-Fi connections, where consumers may also face cyber risks.

But affordability remains a challenge, as additional coverage comes with additional costs. Schimek stressed that consumers should knowingly opt in rather than have insurance imposed on them.

He also cited a surprising finding from bolttech’s 2026 survey of 3,850 people across 11 Asia-Pacific markets: 96% of Filipino respondents felt confident about their cyber protection, but only 48% consistently practiced good cyber hygiene.

Schimek warned that the gap between people’s confidence and actual online safety habits highlights the need for greater awareness and accessible protection.

He said the bigger challenge is a global multi-trillion-dollar protection gap, or the difference between people who need insurance and those who actually have it. He believes this gap continues to widen as technological advances create risks faster than the industry can address them.