Delinea, a provider of solutions that extend privileged access management (PAM), publishes today its 2023 State of Cyber Insurance report finding a significant gap is emerging between insurance carriers and organizations that are scrambling to get affordable, comprehensive coverage.
The report, based on a survey of more than 300 organizations in the United States, found the time and effort to obtain cyber insurance increases significantly with the number of companies requiring six months or more skyrocketing year over year.
Censuswide conducted the survey on behalf of Delinea, and it looked to uncover trends and evolving patterns since a similar report last year, which established the demand for cyber insurance was at a fever pitch.
This year, companies that used their cyber insurance more than once increased to 47 percent, while 67 percent of respondents noted their insurance rates increased 50 percent to 100 percent upon application or renewal. While only one organization said it took longer than six months to obtain or renew cyber insurance in the 2022 report, more than 20 respondents indicated it took that long in this year’s survey.
However, the survey found an increasing list of exclusions that could make cyber insurance coverage void, including lack of security protocols in place (43 percent), human error (38 percent), acts of war (33 percent) and not following proper compliance procedures (33 percent).
Even if organizations can get or renew cyber insurance policies they can afford, their claim may get denied or reduced because of the fine print.
Considering the majority of cyberattacks involve stolen credentials, it’s no surprise that insurance providers require related security controls. About half of respondents reported identity and access management (51 percent) and privileged access management (49 percent) controls are required by their cyber insurance policies.
To download a complimentary copy of the 2023 State of Cyber Insurance report from Delinea, visit https://delinea.com/resources/cyber-insurance-report-2023. For more information about Delinea, visit https://delinea.com.