The cyberinsurance market is rapidly maturing for many reasons. Companies are increasingly leveraging technology to expand or streamline their businesses, remote work is seeing wide-scale adoption, cybercrime is inflicting trillions of dollars in damages, and global cybersecurity legislation and privacy obligations are increasingly holding firms accountable. The cyberinsurance market is projected to become a thriving $20 billion industry by 2025.
Meanwhile, cyberinsurance premiums are becoming costlier by the day. In the first quarter of 2021 alone, cyberinsurance premiums rose by an average of 18 percent, owing to the increasing number of claims and thinning margins of cyberinsurers. It’s now time to evaluate whether the coverage is affordable and delivers real value to the policyholder.
Here are five questions to help organizations assess whether carrying cyberinsurance is a worthwhile investment:
1. What is our risk exposure?
Organizations should be fully aware of what’s at stake from a cyber risk perspective because each company carries various degrees of risk relative to their distinct type of attack surface. Assessing cyber risk against…
