In 2024 [1] [2] [3] [4] [5], Databarracks’ annual Data Health Check survey of 500 UK IT decision-makers revealed significant trends in cyber insurance uptake and claims among organizations.

Description

The survey found that cyber insurance uptake has risen to 66% among organizations, up from 51% in 2022 [3]. There has been a decrease in the number of cyber insurance claims, with only 36% of organizations making a claim in 2024, down from 58% in 2022 [1] [2] [3] [5]. Additionally, the survey noted a decline in the value of claims [2], as claims exceeding £1 million dropped from 48% to 16% in 2024 [2]. This decrease in claims is attributed to the success of ransomware recoveries [2], with more organizations now able to recover from backups instead of paying ransoms [2]. Insurers have become more stringent in their evaluations [2], focusing on backups, encryption [1] [2], business continuity plans [1] [2] [3], and recovery processes to improve businesses’ resilience against cyber attacks and discourage ransom payments [1]. The increased uptake of cyber insurance has provided financial protection for businesses and driven organizations to meet industry standards for resilience [2].

Conclusion

The increased uptake of cyber insurance and the success of ransomware recoveries have had a positive impact on organizations’ ability to recover from cyber attacks. Stricter insurance requirements have raised the bar for preparedness in the industry [4], potentially disrupting the growth of ransomware in the future. Organizations are now better equipped to recover quickly, at minimal cost [2], and with limited disruption to operations [2], emphasizing the importance of resilience in the face of cyber threats.

References

[1] https://www.digit.fyi/cyber-insurance-trends-data-barracks/
[2] https://www.insurancebusinessmag.com/uk/news/cyber/whats-causing-cyber-insurance-claims-to-decrease–databarracks-501924.aspx
[3] https://www.infosecurity-magazine.com/news/ransomware-resilience-cyber/
[4] https://cirmagazine.com/cir/c2024081901.php
[5] https://www.itpro.com/security/cyber-insurance-claims-are-declining-as-firms-take-ransomware-recovery-into-their-own-hands