Dealing with business risk usually involves a trade-off between accepting risk, mitigating risk, or transferring risk. As the Financial Times reported, relying on data from Marsh, cyber insurance premiums exploded more than 100 percent just in Q4, 2021. Not only are premiums rising and projected to increase further, but 1) obtaining cyber insurance is becoming more challenging, and 2) insurance carriers are even leaving the market! Faced with these facts, a reasonable business owner should conclude that accepting cyber risk is not a reasonable strategy; and further, it might not be possible to obtain affordable cyber insurance.
Here is the recent story about the cyber insurance market: https://www.ft.com/content/60ddc050-a846-461a-aa10-5aaabf6b35a5
For IR Global members and all professional service providers, it is also noteworthy in this context to take stock of insurance claims data. According to the 2021 NetDiligence® Cyber Claims Study, professional service firms were the NUMBER ONE TARGETED INDUSTRY SECTOR IN 2021!!! The general view is that professional advisors have become targeted because of 1) the sensitive client data in their possession, 2) the perceived wealth of professional service outfits, and 3) the advantages of a one-to-many attack vector (i.e., the client base).
IR Global trusted partner eosedge Legal, and its new partner program – OnCall Cyber™ – help clients become “Cyber Ready” in 2022. An ever-ready and retained Cyber Crisis Team, incident response plan, insurability coaching, and other services are ways that this subscription affords improved security and confidence to clients that their business continuity will not be jeopardized when a cyberattack comes. Contact Doug DePeppe about getting Cyber Ready in 2022.