Insurance companies face a big new challenge. Fresh research shows a huge jump in cyber risks. These threats come from outside partners. This means trouble for many insurance brands. It’s happening right now.
Huge Jump in Partner Cyber Risks
A new report just came out. Gallagher Re and CFC Underwriting wrote it. It has shocking numbers for today. Cyber claims involving outside firms rose by 150%. This is a very fast increase. Almost half of all cyber claims involve third parties. Specifically, 40% of cyber claims link to these vendors. Also, 45% of cyber incidents lead to a third-party claim. This is a strong warning. Insurance companies must act fast. Do you know your partners’ risks?
More businesses use outside technology. This creates more digital links. New dangers, like AI-powered attacks, are also appearing. These attacks make things harder for everyone. The cost of these cyber problems keeps climbing. Insurers need to grasp these dangers. They must help clients protect their data. This includes understanding their supply chain risks.
Urgent Changes Needed for Insurers
The report asks for quick action. Insurance brands need better risk plans. They must check their clients’ vendor networks carefully. Working together is very important. Insurers should share more helpful data. They also need to work closer with clients. This helps build stronger defenses. It makes everyone safer.
Here are clear steps for insurers:
- Understand client supply chains well.
- Make risk assessment tools better.
- Give improved cybersecurity advice.
- Encourage more data sharing.
- Update insurance policies quickly.
This problem will not disappear. Third-party cyber risks are a top concern. Insurers who change will do well. Others might face bigger money losses. Protecting your information is key today. Learn more about general cyber threats from this CISA guide to cyber threats. You can also find insights on supply chain risk management from Deloitte.
