When secure data exchange matters: Top 5 use cases for insurance companies

A cyber incident here, a compliance breach there, and a lost file elsewhere – when data flows are not secure, insurance providers risk far more than just their reputation. Those still relying on insecure transfer methods or manual processes face the threat of data loss, hefty fines, reputational damage – and the loss of trust from customers and partners. Security gaps can often come with million-euro price tags.

What’s required by regulations such as the GDPR and DORA for insurance is already clear: sensitive data must be encrypted, traceable and securely processed. But when does this become critical in practice? And where are the biggest risks hiding?

Here, we outline five typical scenarios where secure data exchange is essential for insurers – to stay compliant, streamline processes, and boost organisational resilience.

1. Transferring claims documentation securely

The scenario: A customer reports a car accident and needs to send photos, reports, invoices, and medical certificates to their insurer. These documents contain highly sensitive information.

Risks and challenges:

• Insecure transmission methods: Many policyholders still send documents via email, often unencrypted or as open attachments – leaving them vulnerable to hackers and increasing the risk of data breaches or tampering.

• Lack of access control: Once an email is sent, there is little oversight. It's hard to know who opens or forwards the files, and sensitive data can easily fall into the wrong hands.

• Regulatory context: The GDPR and DORA require that sensitive data be processed securely, both technically and organisationally. Proper encryption and access controls must be in place during transmission.

The solution:

• Secure uploads: Modern upload portals (e.g. FTAPI SecuForms) with automatic encryption provide a protected environment for policyholders to send even large files effortlessly.

• End-to-end encryption: All data remains encrypted throughout every stage of transmission. Only authorised individuals can view the content.

• Access management: Role-based permissions and authentication (e.g. two-factor login) ensure only authorised users can access sensitive information.

2. Communicating securely with corporate clients and partners

The scenario: A company arranges group accident or corporate health insurance for its staff and regularly transmits large amounts of personal data – such as new employee enrolments, claims or reimbursements.

Risks and challenges:

• Bulk processing of sensitive data: Communications often include full employee lists with names, birth dates, salaries or health information. A single mistake could affect hundreds of individuals.

• Unstructured exchange: Data is sent via email, spreadsheets or shared folders in unsecured cloud storage – with insufficient encryption or version control.

• Access risks among partners: External partners may lack secure IT infrastructure, placing shared data outside the insurer’s direct control.

• Missing traceability: Without audit-proof documentation, it's impossible to prove who sent or received what – creating legal risk.

Regulatory context: Under GDPR, any corporate communication involving personal data is subject to data protection laws. DORA adds that integrity, availability and confidentiality must also be ensured when external stakeholders are involved.

The solution:

• Secure data rooms: GDPR-compliant, encrypted data rooms (e.g. FTAPI SecuRooms) allow structured, secure data sharing – with access limited to authorised partners.

• Automated interfaces: Data transfers can be integrated directly with partner or CRM systems using APIs or tools like FTAPI SecuFlows – reducing media breaks and errors.

• Audit trails and traceability: Every action in the data room is logged. Insurers can track uploads, downloads and deletions for full transparency.

3. Transmitting medical documents securely

The scenario: A policyholder needs to submit medical reports, scans or treatment plans for their health insurance claim. These documents are often needed in multiple departments.

Risks and challenges:

• Extremely sensitive data: Health data is categorised as a "special category of personal data" under Article 9 of the GDPR – requiring the highest level of protection.

• Insecure channels: Many customers still use unencrypted email, postal services or questionable upload platforms.

• Manual, error-prone processes: Documents may end up in the wrong hands – for example, due to mistyped email addresses. Manual review, sorting and forwarding also wastes time and increases error risk.

Regulatory context: Medical data may only be processed with explicit consent and must be protected by appropriate technical and organisational measures. DORA additionally requires all customer communication to be secure, traceable and resilient.

The solution:

• End-to-end encrypted uploads: Customers can submit documents via secure portals like FTAPI SecuForms or SubmitBox – GDPR-compliant and user-friendly, with no technical knowledge required.

• Multi-factor authentication (MFA): Additional security can be ensured through MFA (e.g. via SMS or app).

• Automated workflows: Submissions can be automatically categorised and routed into internal systems (e.g. by policy type or claim number) using tools like FTAPI SecuFlows.

4. Collaborating with external parties

The scenario: An insurer works with external experts, lawyers or authorities on a claim. Sensitive data such as case files, contracts or investigation reports must be shared and accessed securely – often over extended periods and involving multiple parties.

Risks and challenges:

• Unclear access and version control: When files are shared via email or open cloud folders, it’s hard to monitor who accessed what and when. Multiple users can quickly create conflicting versions or accidental data loss.

• Security gaps among third parties: External partners may not use equivalent security standards – or store data on unsecured devices.

• Lack of auditability: In traditional setups, it’s often impossible to reconstruct who received or edited which file – a major problem for audits or compliance.

Regulatory context: DORA requires insurers to include external service providers in their security strategies. All contracts with IT providers handling personal data must be DORA-compliant, and regular risk assessments are mandatory.

The solution:

• GDPR-compliant data rooms (e.g. FTAPI SecuRooms): Closed, role-based workspaces for structured internal and external collaboration – with full audit logging.

• Granular access rights: Documents can be shared with precise permissions (e.g. read-only, upload-only, comment access).

• Automatic deletion and archiving rules: Time-limited access, download restrictions and automated retention policies ensure data is not available longer than necessary.

5. Reporting IT security incidents to authorities

The scenario: An insurer detects suspicious data activity. Soon it becomes clear: a cyberattack has occurred, and customer data may be compromised. Every minute counts – DORA requires incidents to be reported to authorities within 24 hours.

Risks and challenges:

• No standardised processes: Without clear workflows, precious time is lost in coordination. Reports often reach authorities late, incomplete or in the wrong format.

• Insecure communication channels: Incident details are still sometimes sent via email – unencrypted and without traceability.

• Reliance on internal systems: A major IT outage could render internal infrastructure inaccessible.

Regulatory context: DORA mandates that IT incidents be reported within 24 hours – including structured information on cause, impact, response and timeline. The GDPR also applies if personal data is affected, requiring notification of authorities and potentially of affected individuals.

The solution:

• Secure communication channels: Reports should be transmitted via end-to-end encrypted tools (e.g. FTAPI SecuMails), which remain accessible even during outages.

• Redundant emergency communication: Emergency plans, contact lists and templates can be stored in external, secure data rooms (e.g. FTAPI SecuRooms) – ensuring access even during crises.

Conclusion: Secure data exchange isn’t a ‘nice to have’ – it’s a requirement

These five use cases highlight one thing: secure data exchange is no longer just an IT issue. It’s the backbone of digital insurance processes – wherever sensitive information is processed, shared or reported.

With DORA and the GDPR, simply transferring data is no longer enough – it must be protected, traceable and compliant. For many insurers, this means rethinking processes, actively managing third-party risks, and finding the right balance between security, efficiency and user-friendliness.

Modern solutions like the FTAPI platform help bridge this gap. They offer end-to-end encryption and automated, auditable workflows that integrate seamlessly with existing systems – with minimal IT effort.

Those who act now aren’t just ticking compliance boxes. They’re gaining a real competitive edge – with stronger security, leaner processes, and renewed trust from customers, partners and regulators.