Cyber Insurance Market Recap 2020
The Australian cyber threat landscape continues to be challenging for organisations as the rise in remote working arrangements and the online shift of workforces has consequently expanded potential entry points for threat actors throughout 2020.
Supply chain and ransomware attacks continue to feature in the risk landscape, and Asia Pacific is the top region impacted by malicious data breach attacks compared to the rest of the world.
Although the cyber insurance market remains an accessible and affordable means of transferring risk for insureds, there has been signs of caution from insurers as a result of the increasing claims activity in 2020. In an effort to sustain profitability, insurers are increasing cyber premiums (15-20% average increases in Australia), capping limits, and requiring more underwriting information.
Nevertheless, the cyber insurance market size is expected to continue to grow as companies and boards increasingly focus on cyber risk management. This has led to higher limits being purchased and a sizeable growth in the number of cyber insurance policies placed in Australia.
Which industries are purchasing cyber cover in Australia? What are the implications of “silent cyber”? What are the coverage and claims trends from 2020? What is the outlook for 2021 and what can organisations do to help them achieve the best coverage and pricing outcomes in the current market?
For answers to these questions and more, download our full report.
NOTE: This cyber report is a part of the 2020 Australian Insurance Market Recap Series – a series of local market insights by insurance class, with a specific focus on the state of market in Australia. Other insurance classes featured in the series include: