Ensuring a Secure Future by Insuring Against Cybercrime: A Study of Okada Micro Finance Bank, Okada, Edo State

Cybercrime poses an increasing threat to financial institutions worldwide, with microfinance banks in developing countries like Nigeria being particularly vulnerable due to limited cybersecurity infrastructure. This study investigates how Okada Micro Finance Bank can ensure a secure future by insuring against cybercrime through the adoption of cyber insurance and enhanced cyber risk management practices. Using a mixed-method approach, data were collected from staff and IT personnel to evaluate the bank’s exposure to cyber threats, existing security measures, and the level of awareness and adoption of cyber insurance. Findings reveal a high exposure to cyber threats, limited cybersecurity practices, and minimal awareness or use of cyber insurance. The study concludes that while cyber insurance remains an underutilized tool, it holds significant potential in strengthening the resilience of microfinance institutions. Recommendations include the adoption of tailored cyber insurance policies, increased staff training, regulatory support, and public-private partnerships to enhance cybersecurity preparedness. This research contributes to the discourse on digital risk management and financial security in Nigeria’s microfinance sector.