What's Changing in the Cybersecurity Insurance Market?
Data breach volume and costs continue to rise. 2021 set a record for the most recorded data breaches on record. And in the first quarter of 2022, breaches were up 14% over the prior year. No organization is completely safe from cyberattacks. We’ve provided information about the trends we are seeing with cyber liability insurance below.
Demand is Going Up - With demand increasing, look for more availability and policy options for cybersecurity insurance.
Premiums are Increasing - With the increase in cyberattacks has come to an increase in insurance payouts. Insurance companies are increasing premiums to keep up.
Certain Coverages are Being Dropped - Certain types of coverage are getting more difficult to find. For example, most insurance carriers are dropping coverage for “nation-state” attacks. Nation-state attacks are those attacks that can be tied to hostile governments such as Russia, Iran, or North Korea.
It’s Harder to Qualify - Just because you want cybersecurity insurance, doesn’t mean you’ll qualify for it. Qualifications are becoming stiffer. Insurance carriers aren’t willing to take chances on companies with poor cyber hygiene.
If you’re considering cybersecurity insurance or filling out your renewal, don’t go it alone. Contact us for support through the process.