As we step into 2024, the landscape of cyber threats continues to evolve with unprecedented complexity and audacity. Insights from a recent Forbes article reveal a world where cybercrime costs are projected to soar to $10.5 trillion annually by 2025, a clear signal that the challenges of the digital age are intensifying. Last year, an alarming 72.7 percent of organizations fell victim to ransomware attacks, and the sophistication of these threats is only growing.
From the cyber insurance market perspective, we are preparing for a hardening market. In the first half of 2023, the market saw ransomware extortion totaling $176M more than all of 2022. This indicates an overall increase in cyber insurance rates and a challenging environment for businesses seeking new cyber policies.
In this dynamic environment, the role of a cyber insurance broker must extend beyond offering insurance solutions to also include the knowledge, strategies and value-driven relationships that are needed to fortify your business frontiers. At Higginbotham, we’re committed to empowering our clients through continuous education about the ever-changing regulations at both the federal and state levels. As the cybersecurity landscape continues to evolve, our team is dedicated to providing industry insights to help you navigate these changes.
Cyber threats pose a major risk to all businesses, but particularly those in highly targeted sectors such as construction, health care, manufacturing, finance and education. Yet, amidst these challenges lies an opportunity for resilience and innovation. With increased investments in cybersecurity, a comprehensive cyber insurance policy as a reactive measure and a solid, proactive stance on emerging threats, including the impacts of geopolitical tensions and AI-driven attacks, businesses can navigate these turbulent waters with greater ease.
When it comes to cyber insurance, at Higginbotham, our goal is to keep you at the forefront of cybersecurity defense through strategies and tools that are both cutting-edge and effective. Together, we can meet 2024 with a cyber strategy that is vigilant, forward-thinking and designed to cultivate the security and prosperity of your enterprise.
For more information on cyber risk management, understanding your organization’s current cyber exposures and exploring cyber liability mitigation options, get in touch with a member of our team. Or, if you’re ready to take proactive steps toward protecting your business from cyber threats, request an insurance quote.