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?
“Marsh Pty Ltd (ABN 86 004 651 512, AFSL 238983) (“Marsh”) arrange this insurance and is not the insurer. The Discretionary Trust Arrangement is issued by the Trustee, JLT Group Services Pty Ltd (ABN 26 004 485 214, AFSL 417964) (“JGS”). JGS is part of the Marsh group of companies. Any advice in relation to the Discretionary Trust Arrangement is provided by JLT Risk Solutions Pty Ltd (ABN 69 009 098 864, AFSL 226827) which is a related entity of Marsh. The cover provided by the Discretionary Trust Arrangement is subject to the Trustee’s discretion and/or the relevant policy terms, conditions and exclusions. This website contains general information, does not take into account your individual objectives, financial situation or needs and may not suit your personal circumstances. For full details of the terms, conditions and limitations of the covers and before making any decision about whether to acquire a product, refer to the specific policy wordings and/or Product Disclosure Statements available from JLT Risk Solutions on request. Full information can be found in the JLT Risk Solutions Financial Services Guide.”