According to a report by Edafio, in 2022, the average cost of a data breach reached US$4.4 million: a 13% increase since 2020. That average cost is also expected to reach $5 million per incident in 2023.
A recent report by Gartner also states: “By 2025, the consumerisation of AI-enabled fraud will fundamentally change enterprise attack surface driving more outsourcing of enterprise trust and focus on security education and awareness.”
In 2021, cybercrimes in Britain surged by 40%, surpassing the global average, according to a survey by Surfshark, a VPN provider. The Netherlands also experienced a significant increase of 50% in cybercrime rates. Social media hacking became a growing concern in the UK, with reported cases rising by 23.5% to reach 8,023 in 2021/22, as highlighted by the National Cyber Security Centre (NCSC). Ransomware incidents necessitated a nationally coordinated response, with 18 notable cases identified in 2022.
Protecting businesses against the ever-increasing sophistication of cyber hacking, has become a critical task, especially in the insurance industry, where trust and data are the bedrocks of the business. We’ve listed 10 innovative companies providing cutting-edge cyber insurance solutions.
Zurich North America: Best for Midsize Businesses Zurich North America has over a decade of experience in providing cyber insurance, making them a trusted choice for midsize businesses. With coverage options up to $25 million, Zurich offers extensive protection against privacy liability, regulatory proceedings, and reputational damage.
Chubb: Best for Enterprises Chubb specialises in catering to the unique challenges faced by large enterprises. Their comprehensive coverage includes payment card loss, business interruption, and extortion expenses, demonstrating their commitment to safeguarding businesses of all sizes.
Travelers: Best Cyber Liability Coverage Travelers stands out for its exceptional cyber liability coverage, encompassing forensic investigations, litigation expenses, crisis management, and cyber extortion. Their services are suitable for businesses of all sizes, with a focus on small businesses.
AIG: Best for businesses looking for cyber insurance solutions to help safeguard against data breaches, employee errors, and computer hacking. AIG is one of the most recognised cyber security insurance companies in the US. The company has nearly 20 years of writing cyber security insurance with an A rating from AM Best.
The Hartford: Best for High Policy Limits For enterprises with substantial revenue, The Hartford offers the highest policy limits in the industry. Their coverage includes worldwide protection against fines, business interruption, and cyber deception loss, among others.
AXA XL: Best for businesses in the technology industry. Their proactive risk management team is always on standby to provide clients with services, tools, and resources to help identify, mitigate, and act against cyber threats at the right time. AXA XL categorises its cyber insurance into three major groups – coverage for North America, International Coverage, and Technology Error & Omissions Coverage.
Hiscox: Best for Startup Businesses Hiscox offers affordable cyber insurance coverage specifically designed for small businesses. Their policies encompass data breaches, cyberextortion, and data recovery, providing essential protection at a reasonable cost.
Cowbell: Best for large enterprises, Cowbell cyber coverages are specifically designed for enterprises with up to $500 million in annual revenue. For a healthcare, technology, construction, finance, retail or agriculture business (along with other industries), Cowbell also automates insurance applications.
Coalition: Best for prevention and rebuilding following a breach. Coalition’s cyber insurance coverage is designed to prevent digital risk before it strikes. The insurtech also uses AI and LLMs to analyse the descriptions provided within newly released common vulnerabilities and exposures (CVEs) and compares them to previously published vulnerabilities to predict the likelihood of exploitability.
Beazley: Best for small and medium-sized firms in the tech, media, and healthcare industries. Beazley insurance believes that providing insurance coverage only isn’t enough and there’s a need to offer comprehensive guidance on risk mitigation, prevention, and incident response. Their priority is to understand clients’ business models and do an in-depth exposure analysis to design useful insurance coverage.
