Despite rising cyber insurance premium costs and shifting coverage areas, companies are still seeking out and renewing their policies, experts tell Axios.
The big picture: Cyber insurance provides financial assistance following a cyberattack to help cover ransom payments or the costs to rebuild data storage systems. But as attacks have increased, so have premium prices.
Brokers tell Axios they haven’t seen companies’ appetite for cyber insurance get smaller — despite changing requirements and coverage.
At the same time, experts say the days of sharp premium increases are over — holding off fears that companies will ditch insurance before premium costs grow out of reach.
To bring down the losses, insurers have been turning to a couple strategies: Requiring tougher cyber hygiene practices from potential buyers and changing what cyberattacks these policies cover.
Yes, but: Some companies appear to still be rethinking their cyber insurance needs.
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Editor’s note: This story has been updated to remove a reference that said 63% of Marsh USA’s clients said they planned to keep their cyber insurance policies. This number actually referred to the number of clients who increased their self-insured retention in the month of April.
