What's Happening?
A study by RSM reveals that large organizations represent only 2% of cyber insurance claims but account for 51% of incident costs. The report highlights the disproportionate financial impact of cyber incidents on large companies, with ransomware being the most costly source of loss. Health care organizations face the highest average incident costs, while professional services firms lead in claim quantity.
Why It's Important?
The findings underscore the significant financial risks large organizations face from cyber incidents, emphasizing the need for robust cybersecurity measures. The data suggests that while smaller enterprises experience more frequent incidents, the financial impact on larger companies is far greater. This disparity highlights the importance of tailored cybersecurity strategies for different business sizes and sectors.
Beyond the Headlines
The study points to a decline in non-criminal incidents, suggesting improved employee training and controls. However, the prevalence of criminal activities like hacking and ransomware remains a major concern. Companies must focus on resilience and incident response to mitigate potential losses. The report recommends strengthening cybersecurity foundations and managing third-party risks.
