The demand for cyber insurance in the US experienced a significant surge in 2022, with premiums increasing by 50%. This growth was primarily driven by the rise in ransomware attacks and the expanding realm of online commerce, which heightened the need for coverage. Insurers collected $7.2 billion in premiums in 2022, marking a three-fold increase over the past three years. The escalating threat of cyber risks remains a persistent concern, and the coverage provided to insured individuals and companies depends on insurers’ risk appetite and the willingness of reinsurers to provide coverage. Ransomware attacks, which saw a substantial increase, contributed to the heightened demand for cyber insurance, as the shift to remote work during the pandemic made individuals more vulnerable to digital attacks. This trend also prompted organizations and individuals to adopt stronger cybersecurity measures. Notably, loss ratios for standalone and packaged policies decreased to 43% and 48%, respectively, indicating positive signs for the industry after experiencing higher incurred losses in 2020 and 2021. Surplus lines insurers, specialized in covering unique risks not covered by conventional policies, have gained popularity and now account for most cyber insurance premiums. Looking ahead, the growth in demand for cyber insurance is expected to continue due to the expanding cyber landscape, increased complexity from artificial intelligence, and the resurgence of ransomware attacks in 2023.
Our Innsights: In an increasingly connected world, protecting your organization’s valuable assets is paramount. At InnoWave, we specialize in providing comprehensive cybersecurity solutions tailored to your unique needs.
Our expert team of cybersecurity professionals utilizes state-of-the-art technologies and cutting-edge strategies to safeguard your digital infrastructure from evolving threats. From proactive threat intelligence to robust vulnerability assessments, we leave no stone unturned in securing your data, networks, and systems.
With InnoWave by your side, you can rest assured that your organization is fortified against cyber attacks. Our agile and proactive approach ensures rapid detection, response, and mitigation, minimizing the impact of potential breaches.
Don’t compromise on security. Partner with InnoWave and elevate your cybersecurity defences to the next level. Contact us today to safeguard your digital future!