Demand for ransomware cover increasing globally among SMEs

By Michael Jones

May 22 - (The Insurer) - Demand for ransomware insurance is increasing among small and medium-sized enterprises around the globe, Markel International's Sophie Forsyth said on Wednesday.

Forsyth, a financial institutions and fintech underwriter, pointed to a Sky News survey of UK SMEs that showed one-fifth of businesses had fallen victim to a cyberattack.

The survey found that those that had been attacked estimated average losses of nearly 31,000 pounds ($41,690) per day for each day the business was forced to close.

"These concerning statistics emphasise the need for cyber insurance, particularly as threat actors continue utilising AI tools and technology to infiltrate company networks and steal funds and confidential data from businesses," Forsyth said.

Earlier this month, BMS' Monica Tigleanu said that recent cyberattacks on UK retailers, including Marks & Spencer and the Co-op Group, could lead to rate increases of 10% to 20% for the retail sector.

On Wednesday, Marks & Spencer confirmed it expects to make insurance recoveries related to its recent ransomware attack, which is set to cost the group 300 million pounds.