Cyber risk continues to evolve, the insurance industry tightens its guardrails

Cyber risk continues to evolve as the insurance industry tightens its underwriting guardrails, shifting coverage expectations for enterprises and governments. While cyberattacks have caused data loss, weeks of downtime, and millions in lost sales, the cyber insurance market has grown into a global $15 billion industry. Insurers are increasingly concerned about systemic cyber risk and are not treating policies as unlimited protection. A report cited from the Foundation for the Defense of Democracies warns that one vulnerability or attack can trigger simultaneous claims across an insurer’s entire portfolio, making systemic risk hard for private markets to diversify. As a result, policyholders face greater scrutiny over how they oversee and secure their IT environments. The discussion, part of Informa TechTarget’s Reporters’ Notebook, includes journalists David Jones (Cybersecurity Dive), Fahmida Y. Rashid (Dark Reading), and Richard Livingston (TechTarget SearchSecurity), who outline how cyber insurance is changing alongside the threat landscape.