02
Mar
2015

Are Insurers Underestiming the Cyberthreat?

Risk Management

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PUBLISHED ON: March 2, 2015

AMERICANS HAVE LEARNED TO LIVE WITH BIG RISKS — including, for thepast few years, losses from major cyberattacks. With news of major data breaches breaking almost daily, the public is growing numb and, to a certain extent, so are the businesses that must absorb the cost of enhanced cybersecurity.

These companies are bombarded with Armageddon-like scenarios involving large security breaches, and urged to model and insure against increasingly complex data losses. This has created demand for more comprehensive cyberinsurance products, and insurance companies have hurried meet the demand. Cyber is the new insurance gold rush.