The predicted ceiling for cyber insurance market growth has been raised higher. Recent reports from PricewaterhouseCoopers claim that the market is expected to reach $5 billion by 2018 and exceed $7.5 billion by 2020. The PwC study also revealed over 60% of business owners recognized cyber as a significant threat to growing their business.
According to a Gartner Research Report, over 70 carriers already offer some form of cyber coverage ranging from liability coverage for compromised confidential information to notifying customers of security breaches and assisting them with credit monitoring assistance. Carriers are continuously evolving their coverage policies to adapt to the rapidly growing cyber needs of their clients.
Insurers, reinsurers, and brokers need to be on the cutting edge of identifying cyber risks and establishing measures to mitigate threats posed by cybercrime. The lofty task of grasping the threat of cybercrime has opened the window for insurers to partner with tech companies and other industry players to share data over managing risk and fair pricing.