The recent surge in ransomware attacks has seen little increase in enquiries for cyber insurance cover, survey findings suggest.
Broking Now, carried out by research and communications consultancy FWD, found that 73% of UK brokers felt there had been no change at all in the number of enquiries for cyber cover following the Wanna Cry attack.
Only 4% of brokers said that they had seen a significant increase, in the volume of cyber insurance inquiries, the research said.
Carole Herpin, senior account director, FWD Research, said: “The uptake of cyber insurance in the UK has been relatively slow to date. Many people think that cyber would have the same impact as CAT or windstorm cover. That is, after a large incident, when people are reminded very clearly how important such cover can be, there is a major uptick in enquiries and purchasing among businesses.
“Many people in the market believed that the Wanna Cry attack, which hit businesses and institutions on a global scale, including the NHS, Telephonica and Fed Ex, would be a trigger point that pushed the market. Our research has shown this is not the case.”
Elliot Lane, joint managing director, FWD, said: “Attacks of this type are becoming increasingly prevalent. Since Wanna Cry, there has been further cyber attacks, on Whitehall and the more virulent Petya ransomware attack.
Lane added: “The question is what incident will be the catalyst to kick-start the market? Firms might be holding back on cyber insurance if they do not think that the right type of products are available, however if businesses are not prepared, then they could be facing significant losses. At this stage it appears that this is a risk many businesses are willing to take.”
- Roundtable: Is a single customer view taking off in insurance?
- O’Connor replaces Fairchild at the helm of Broker Network
- Home insurance insurtech Buzzvault launches
- Stackhouse Poland makes fourth acquisition of the year
- Ed unveils CEO Hearn’s replacement and plots Bermuda office
- CBL Corporation expected to be placed in liquidation, sees further delays to watershed meeting
- Hyperion hires CFO to replace Oliver Corbett