Data protection in insurance: How DORA becomes a driver of efficiency

Data protection in the insurance sector is now a strategic priority. The safeguarding of sensitive customer data determines an organisation’s resilience, operational efficiency, and long-term viability.

With the introduction of the Digital Operational Resilience Act (DORA), expectations have increased significantly. Insurers are now required to prevent data breaches, demonstrate cyber resilience, and document data exchanges in a traceable manner. This increases the pressure to act—but also presents the opportunity to rethink, simplify and streamline existing processes.

Those who implement DORA consistently will align regulatory obligations with long-term business value.

Why insurers must act on data protection

Insurance companies handle highly sensitive data on a daily basis—the personal details of their policyholders. This includes names, addresses, bank details and contract information, as well as medical diagnoses, assessments and claims reports. As such, they are a prime target for cyberattacks: according to the BSI's 2024 report on the state of IT security in Germany, the number of reported security incidents in the financial and insurance sector has doubled compared to the previous year.

Even a single data breach—for instance, the loss of unencrypted customer data—can lead to significant reputational damage, regulatory fines and customer churn.

DORA increases the urgency to act

DORA has significantly tightened the requirements for insurers. Reactive measures are no longer sufficient. What’s needed are robust, secure processes that serve as the foundation for lasting compliance, trust and efficiency.

• Insurers must be able to prove that their IT systems and critical operations are protected against disruptions and attacks.

• Security incidents must be reported to the relevant authorities within 24 hours, including detailed documentation on data handling and the protective measures taken.

• Third parties, such as IT and cloud service providers, are also subject to DORA. Insurers are required to adjust and regularly review contracts and monitoring mechanisms.

• IT systems must be continuously assessed for vulnerabilities and resilience, including through penetration tests and emergency response exercises.

• Clear responsibilities for cybersecurity and incident response must be defined.

In addition, the General Data Protection Regulation (GDPR) continues to apply, requiring transparency, data deletion obligations and data protection impact assessments.

Typical weaknesses in insurers’ data exchange practices

Organisations that still rely on siloed systems, manual workflows or unstructured data handling for data exchange in insurance tie up internal resources with complex audits, maintenance and inefficiencies. Nevertheless, many insurers continue to use a patchwork of solutions to communicate with customers, partners and regulatory bodies.

This commonly leads to the following issues:

• Fragmented system landscape: Using different tools for customers, partners and authorities causes media disruptions, increases maintenance workloads and creates unnecessary security risks.

• Insecure transmission methods: Claims reports or health documents are often sent without end-to-end encryption, leaving communications vulnerable to data theft or tampering.

• Lack of standardisation: Without clearly defined processes and interfaces, workflows become inefficient. Data must be manually checked, re-routed or archived—raising error rates and processing times.

• Insufficient documentation and traceability: In the event of an audit or data breach, end-to-end records of data transfers are often incomplete or missing.

• Growing complexity and burden on IT teams: Managing multiple tools and manual workflows drains resources. Addressing regulatory requirements in isolation leads to redundancies and system fragmentation.

Why DORA is an opportunity for real efficiency

Those who only see DORA as a source of new obligations and audits miss its potential benefits. The regulation compels insurers to review and document their processes—and to simplify them wherever friction has previously occurred.

Many requirements can only be effectively fulfilled when underlying structures are clearly defined, standardised and as automated as possible. Take, for example, the requirement to report security incidents within 24 hours. This isn’t feasible with ad hoc, manual procedures—instead, it calls for a clear process with structured data flows, standardised forms and documented responsibilities.

The same applies to the exchange of sensitive data with third parties. Relying on a range of tools and individual workarounds leads to delays, additional coordination and lost oversight. A single, secure channel of communication can streamline the entire process—for customers, partners and internal teams alike.

DORA does not demand more effort—it provides a framework that enables organisations to design processes that are simpler, more secure and more efficient.

How insurers can benefit from DORA in practice

Insurers who restructure their processes in line with DORA can also use this as an opportunity to modernise them:

• Standardised upload and transmission channels (e.g. via encrypted forms or secure data rooms) provide clarity, structure and relief in daily operations.

• Automated workflows ensure that sensitive data is received securely and immediately processed or archived correctly.

• Comprehensive platforms that cover all use cases in secure data exchange replace fragmented systems—cutting licence and maintenance costs, reducing training efforts and solving interface issues.

How FTAPI supports insurers with data protection and efficiency

FTAPI offers insurers a central platform for secure, efficient and compliant data exchange. It combines the highest security standards with easy and flexible usability in daily operations. The components:

• SecuMails and SecuRooms: Insurers can exchange confidential documents and data with customers, assessors or regulators via end-to-end encrypted emails and secure virtual data rooms—fully traceable, audit-proof and GDPR-compliant.

• SecuForms: Structured, encrypted online forms enable secure data collection for applications, claims or medical documentation. This eliminates media discontinuities, reduces errors and accelerates processing.

• SecuFlows: Automated processes ensure sensitive data is routed, handled and archived in a structured manner. Insurers benefit from clearly defined workflows, improved transparency and less manual effort.

With FTAPI, insurers receive everything they need for secure data exchange in one integrated platform—without isolated solutions or media breaks. This ensures compliance, saves time and resources through streamlined processes, and reduces the risk of data breaches.

FTAPI is developed and hosted entirely in Germany—ensuring maximum digital sovereignty. The zero-trust principle guarantees that only authorised individuals have access to sensitive data (not even FTAPI staff). Certifications such as ISO 27001 and BSI C5, as well as regular independent penetration tests (most recently passed in March 2025), confirm FTAPI’s compliance with the highest data protection and information security standards, making it a reliable choice for insurers.

Conclusion: DORA and data protection as a lever for future-proof efficiency

DORA shows that data protection and cyber resilience are now essential success factors for insurers. Those who modernise their systems and processes now will establish a strong foundation for fast, secure and auditable operations. Costs decrease, compliance is ensured—and the trust of customers, partners and regulators is strengthened in the long term.

With centralised platforms for secure data exchange and structured data collection, insurers not only meet the requirements of DORA and GDPR—they also use regulatory requirements as a driver of innovation, efficiency and future readiness.

FTAPI helps the insurance industry rethink data protection processes and harness the opportunities of digitalisation—securely, efficiently and sustainably.