OPERATING IN THE WORLD TODAY WITHOUT THE
internet is fairly impossible, as its reach extends to virtually all
people, homes and businesses. Being connected also brings more
unanticipated risks than ever before. Cyber risks like ransomware and email “phishing” are just a click away, and they’re not
going away anytime soon — meaning cyber claims aren’t either.
To understand the cyber claims space in 2019 and beyond,
common attacks by cybercriminals and how cyber policies factor into the bigger picture for companies, Claims reached out to
experts from QBE North America, Travelers, HORNE Cyber and
others to better understand what they are seeing in the market.
Their answers were condensed for brevity and clarity.
Claims: What’s driving cyber claims in 2019, and what should
we keep an eye on in 2020?
Eric Lidman, assistant vice president, professional
& cyber liability, QBE North America: Email “phishing”
(business email compromises or “BEC”) remains 2019’s top cybersecurity threat resulting in insurance claims. Looking toward
2020 (and beyond), phishing scams designed to provide hackers
access to cloud-based Microsoft Office 365 accounts are increasing at an alarming rate, as cybercriminals recognize the wealth
of corporate and client information they can harvest once such
accounts are compromised. As long as email remains an essential
business tool, phishing schemes will continue to evolve in 2020
and beyond, resulting in significant insurance claims.
Ransomware attacks follow close behind phishing as a substantial source of cyber claims (though the two are often
linked). However, their overall number has decreased in 2019 as
By Denny Jacob
BUSINESS CYBER RISKS
OF THE FUTURE