Cyber insurance evolves to cover all your online needs

TLDR:

• Cyber insurance coverage is evolving to help raise security baselines across businesses.
• Only one-quarter of companies have a standalone cyber insurance policy.

In today’s evolving cybersecurity landscape, cyber insurance coverage is becoming increasingly important for businesses. While cyber insurance can help improve an organization’s overall cyber posture, only a small percentage of companies actually have standalone cyber insurance policies. Many organizations shy away from standalone cyber insurance due to concerns about cost, coverage limits, and the complexity of gaining coverage.

Despite these challenges, the cyber insurance industry is adapting to new technologies and threats, such as AI, ransomware, and personal cyber risks. AI is a particular focus for insurance companies, as they grapple with how policies will cover AI-related cyber risks. Additionally, cyber insurance is expanding beyond corporate networks to cover personal and IoT devices.

Obtaining cyber insurance is becoming easier for many organizations, with prices remaining stable or decreasing for most policies. However, certain industry classes, such as healthcare technology, may face higher premiums due to past headline events. Ransomware remains a sticking point in cyber insurance coverage, with business disruption costs impacting availability and pricing.

Ultimately, the right cyber insurance policy should align with an organization’s security policy and act as one of many tools to mitigate risk. With the industry evolving and cyber threats constantly changing, cyber insurance is a crucial component of a comprehensive cybersecurity strategy.