Search
 

Cyber attacks drive insurance purchases in early 2015

Rates increase as more businesses use insurance to manage cyber risk.

By Patricia Harman | Updated on October 22, 2015

As more and more high-profile cyber attacks are identified, businesses are increasing their investment in cyber insurance to help mitigate their risk exposure in the event their data is hacked. According to U.S.-based insurance broker Marsh in its latest report, Benchmarking Trends: Cyber Attacks Drive Insurance Purchases for New and Existing Buyers, client spending on standalone cyber insurance increased 32% for the first half of 2015. Pricing for cyber insurance also increased – especially for industries that have experienced significant cyber losses. 

Across specific business lines, spending grew significantly. (See Figure 1) Power and utility companies increased their growth rate 100%, nearly doubling their take-up rates for the same period in 2014. Universities and other education-based institutions saw a growth rate of 155% – a 90% change in their cyber insurance take-up rates over the previous year. Marsh notes that “school settings are ripe for cyber attacks due to the hefty amount of student and staff personnel information that is stored in a variety of places.” 

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.

INCLUDED IN A DIGITAL MEMBERSHIP:

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

PropertyCasualty360

Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2024 ALM Global, LLC. All Rights Reserved.