Private cyber insurance provides adequate risk coverage: study
Private providers of cyber insurance policies have had no choice but to evolve to respond to the increasing vulnerabilities in the private and public sectors.
A new study by analyst firm R Street revealed that the market is growing at a rate of 26% to 50% per annum. And the insurance industry is keeping up. In 2015, providers collected $2.75 billion in cyber insurance premiums, and are expected to grow to $7.5 billion by 2020.
Total industry capacity is currently pegged at $500 million.
“Encouragingly, to date, policies with $50 million limits would be able to cover roughly 92% of cyber event claims,” senior fellow and study author Ian Adams was quoted as saying in an R Street update.
