Most US Firms Have Cybersecurity Insurance — But Only 1 in 3 Say it is Full Coverage

August 22, 2018

The number of U.S. firms with cybersecurity insurance has risen in the past year — but less than a third say their cyber insurance covers all risks. The second annual cybersecurity survey from research and consultancy firm Ovum, for Silicon Valley analytics firm FICO, found that the number of U.S. firms reporting they have no cybersecurity insurance dropped from 50 percent in 2017 to 24 percent in 2018. This places the U.S. at the exact average reported across all 11 countries surveyed, but lagging behind Canada, India and the UK. Further, only 32 percent of U.S. firms said their cybersecurity insurance covers all risks.

The survey also found:

24 percent of U.S. executives surveyed say their firm has no cybersecurity insurance
Only 26 percent of U.S. firms said their insurer based their premiums on an accurate analysis of their risk profile.
Healthcare firms lag other industries, with 70 percent reporting they have no coverage

Ransomware and the propulsion of the extortion economy has rapidly eclipsed into a national priority. Recently, we observed the catastrophic impact of a widescale ransomware attack impacting gas pipelines and raising national gas prices overnight.