Cyber insurance premiums are falling globally as businesses become more adept in curbing their losses from cyber crime. Insurance premiums to protect companies against cyber attacks rocketed in 2021 and 2022, as the COVID-19 pandemic drove cyber incidents. But premiums have been dropping in the past year. The cyber insurance market saw double digit price reductions in 2023/2024.
Greater appetite by insurers to offer cyber insurance is also leading to price decreases. Ransom software works by encrypting data. Typically, hackers offer a pass code to victims of an attack, enabling them to retrieve the data in return for cryptocurrency payments. Business interruption is usually the biggest cost following a cyber attack, but businesses are able to reduce those costs with better back-up systems, such as through the use of cloud providers.
