The FBI’s Internet Crime Complaint Centre received 300,000 more reports in 2021 than in 2020. As if that wasn’t startling enough, the losses reported totalled more than $4 billion. To protect against losses, companies have relied on cyber insurance. However, with cyber attacks increasing in volume, cost and severity, many insurers have now altered – or completely removed – their coverage options. Insurers have become extremely risk-averse, with Lloyds of London one of many to recently reduce their cyber coverage. For those that do manage to find an insurer, there will be increased costs, less comprehensive coverage, and more burden of proof that any incidents were not the fault of the victim.
