Deloitte recently published its Irish Information Security and Cybercrime Survey 2013. The survey results will be of particular interest to insurers providing cyber insurance products and cyber extensions. Strong growth in the field of cyber insurance is predicted for the coming years and cyber cover has increasingly become an add-on for professional indemnity and financial institutions policies. The survey, now in its second year, contains a number of interesting findings relating to public and private sector experiences of cybercrime in the past year. The survey respondents included multinationals, Irish corporates and public bodies. Of the entities surveyed, 21% were sourced from financial services with a further 7% coming from the insurance sector.
The survey showed that a large number of entities have already been victims of cybercrime and have suffered significant financial losses as a result:
40% of respondents had experienced a cyber breach of some kind Of the organisations that experienced serious incidents, 31% reported losses exceeding 100,000 with 14% suffering losses in excess of 250,000 per incident The average cost of a large cybercrime incident was estimated at 135,000 29,954 is the average clean-up and remediation cost to organisations following an incident Cybercrime has cost Irish entities an average of 2.7% of their annual turnover - this figure increases to 10% of annual turnover for the 15% most severely affected organisations. Insurers will be particularly concerned to note that, despite expressing serious concern at the risk posed by cybercrime, many organisations say their internal processes for dealing with cybercrime are inadequate:
49% of respondents rate overall readiness to deal with cybercrime...