Argo Group International Holdings, Ltd. has released its cyber insurance survey, and it looks like small- and medium-sized enterprises (SMEs) either do not have the means to insure themselves against cyber risks or, worse, they’re not interested.
For the
Under Attack and Unprepared: Argo Group Cyber Insurance Survey 2017, the international specialty insurance company surveyed 150 brokers and 200 SMEs in both the UK and the US. Here are the numbers:
- 57% do not have any kind of cyber insurance, even with 63% having experienced some form of cyber incident.
- Only 27% of SMEs are “likely” or “very likely” to purchase cyber insurance, yet 60% don’t think their current internal cybersecurity processes are adequate.
- As for the reasons for not getting covered, 42% believe their in-house security is adequate; 35% find insurance too expensive; and 32% cited a lack of interest from senior management or the board of directors.
“Companies continue to overestimate their ability to protect against potential attacks and underestimate the damage a cyberattack can cause,” said senior vice president, group head of cyber Simon White. “It’s only a matter of time before the next major cyberattack, which is why it’s crucial for companies to take the time to re-evaluate how they protect themselves.”
On the flip side of the coin though, 89% of protected SMEs say their cyber insurance is meeting expectations, with 86% stating their policy covered the breaches they suffered. Meanwhile 36% of the insured SMEs have filed claims with their providers in the past 12 months.
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