Why BSI C5 Certification Matters for Banking and Insurance

6 min read
Jarrod Davis
Authors name: Jarrod Davis October 14, 2025
Why BSI C5 Certification Matters for Banking and Insurance
4:25

Trust Is Not Optional. It’s Earned.

In banking and insurance, compliance is foundational because sensitive data and regulatory scrutiny are non-negotiable. That’s why Cognigy proudly holds the BSI C5 attestation. Here’s what that means for you and doing business in Germany.

What Is BSI C5?

BSI C5 stands for the Cloud Computing Compliance Controls Catalogue, created by Germany’s Federal Office for Information Security (BSI). First issued in 2016 and enhanced in 2019 and 2020, it defines cloud security standards for professional cloud providers, auditors, and customers. It breaks security into 121 audit-ready criteria across 17 areas spanning organizational, platform, and data protection controls.

Audits follow international standards like ISAE 3000. A Type I audit confirms control design when the audit was conducted, while a Type II audit adds the proof, showing those controls work effectively over time.

Why It’s Critical for Banking and Insurance

  • Regulatory gravity: Your world is defined by GDPR, BaFin, EIOPA, and similar frameworks. You need transparent cloud partners that prove it.
  • Data sensitivity: You handle financial and personal data that can’t afford mismanagement.
  • Transparency requirement: You need audit-ready security that aligns with your own risk frameworks.

BSI C5 is increasingly accepted as the gold standard in regulated sectors like banking and insurance and is a reliable way to verify that cloud providers meet the security expectations of your auditors and regulators.

Cognigy’s BSI C5 Attestation: What It Means for You

Cognigy holds a current BSI C5 attestation, a report issued by an independent auditor affirming the design and operational effectiveness of our security controls.

What’s inside the report:

  • A clear description showing how Cognigy manages risk
  • Details on access and change control, incident management, physical security, and more
  • The auditor’s opinion, unqualified or qualified, is based on the scope and period
From a buyer’s perspective, this gives:
  • Auditable assurance that Cognigy is compliant
  • A concrete tool you can use in your own risk assessments and vendor evaluations
  • Faster security reviews

The Practical Value of BSI C5 for Banking and Insurance

Today, Cognigy is one of only two Magic Quadrant™ Leaders with BSI C5 certification and one of the very few Conversational AI vendors. BSI C5 combines international standards like ISO 27001 with cloud-specific demands such as data locality, transparency on subcontractors, and detailed control reporting.

For organizations operating under strict regulatory oversight, BSI C5 provides a standardized, audit-ready framework that simplifies vendor due diligence and compliance monitoring. With Cognigy’s attestation, you gain:

  • Verified Control Effectiveness:  An independent auditor has confirmed both the design and operational performance of Cognigy’s security controls over a defined period.
  • Reduced Audit Burden: The attestation report can be directly integrated into your own risk assessments, reducing the need for custom evidence requests and lengthy questionnaires.
  • Alignment with Regulatory Expectations: C5 incorporates requirements relevant to GDPR, BaFin, and EIOPA, ensuring that cloud services meet the security and transparency standards expected in the financial sector.
  • Clear Documentation of Processes: The report includes detailed information on access management, change control, incident response, subcontractor use, and data location. This provides a transparent basis for your compliance reviews.
  • Consistency Across Evaluations:  Because C5 is based on internationally recognized auditing standards, it supports comparability across vendors and simplifies regulator engagement.

Moving Forward with Trust

By maintaining BSI C5 attestation, Cognigy provides banking and insurance institutions with independently validated evidence of security controls, a reduction in compliance workload, and a clear framework for risk management. This enables organizations to meet regulatory requirements while adopting conversational automation with greater assurance.

Learn more in the Cognigy Trust Center.