Full-Coverage Cybersecurity Insurance Doubles in Canada

Full-Coverage Cybersecurity Insurance Doubles in Canada as Cyber Threats and Data Breaches Predicted to Increase

According to a FICO report released last month, industry statistics show that cybersecurity attacks and breaches continue to rise. The survey conducted asked Canadian companies about how they manage their cyber risks.

FICO commissioned Ovum research to carry out the survey to better understand how cybercrime affects organizations in Canada.

The following are the highlights from the report:

40 % of Canadian firms surveyed have cybersecurity insurance that covers all likely risks – an increase of 22 percent from 2017

84 % of Canadian organizations felt that when compared to their competitors, they were better than average or a top performer for cyber-readiness. Last year 52% of Canadians felt better than their competitors

Ovum conducted telephone surveys for FICO of security executives at 500 companies in Canada and 10 other countries.

The number of Canadian firms reporting they have no cybersecurity insurance dropped in 2018 from 36 percent in 2017 to 22 percent in 2018. Despite this, nearly half of Canadian firms that responded to only have partial coverage.

The report showed Canada’s financial services companies as the most prepared to handle cyber-risk while 70 percent of respondents in retail and e-commerce said they have some form of cyber-risk insurance. The report also showed that power and utility firms are the most exposed to risk without cybersecurity insurance coverage.

The FICO report found that “while Canadian organizations are realistic about overall levels of risk and expected it to increase, they are not so realistic about their own cyber-readiness.”

Kevin Deveau, vice president and managing director of FICO Canada, said Canadian companies are well-aware of the threat of cyber risk; the increasing uptake of comprehensive cyber insurance is a testament to that. However, there is still a long way to go. Deveau said it’s important to obtain cyber insurance that matches the risk profile of the organization.

A copy of the full report can be found here.

Do you know how safe your organization is? Do you know the potential risks your organization can encounter? Contact me to understand how to take the necessary steps to deal with and mitigate cyber risks.

I work with respected IT professionals, we can help you understand the cyber threats your small business may encounter. With this information, we can find the appropriate cyber insurance for your small business.