Allianz Commercial’s cyber risk outlook reveals a surge in data privacy breach incidents, fueled by ransomware attacks and driving class action litigation.
Cyber insurance claims, particularly those related to data and privacy breaches, have seen a significant increase in the first half of 2024, with the U.S. accounting for 72% of large claims in H1 2024, according to Allianz Commercial’s annual cyber risk outlook.
The frequency of large cyber claims — those in excess of 1 million euros ($1.1 million) — in the first six months of 2024 was up 14% while severity increased by 17%, according to the insurer’s claims analysis, following just a 1% increase in severity during 2023.
The rise in ransomware attacks and a surge in class action litigation for alleged privacy violations, especially in the U.S., are key contributors to this trend.
Ransomware accounted for 58% of the value of large cyber claims in the first six months of 2024, according to the analysis by Allianz Commercial.
High-profile ransomware incidents this year included attacks against UnitedHealth Group’s Change…
