Business insurance

Small businesses are increasingly the target of cyberattacks: report

Ransomware requests and claims for all cyber incidents plummeted in the first half of this year, but small businesses have increasingly become targets, managing general agent Coalition Inc. said in an update on Wednesday. of its 2022 Cyber ​​Claims Report.

In an analysis of claims data from its 160,000 policyholders, the San Francisco-based Coalition said ransomware claims fell to $896,000 in the first half, from $1.37 million in the first six months. of 2021. Of those that resulted in payments, the amount was negotiated at around 20% of demand.

Phishing accounted for 57.9% of cyber complaints, according to the report.

Overall, the severity of cyber claims decreased by 8% in the first half to an average loss of $175,258 and the frequency of claims decreased by 7%, according to the report.

The news wasn’t as good for small business owners, Coalition said. The average cost of their claims rose to $139,000 in the first half, a 58% increase over the prior year period.

“Across all industries, we continue to see large-scale attacks targeting organizations with weak or exposed infrastructure, which is exacerbated by the current culture of remote working and businesses’ reliance on vendors. third parties,” Catherine Lyle, Coalition’s claims manager, said in a statement.

Nonprofit organizations remain a significant target for cybercriminals, according to the report, with a 57% increase in claims from these policyholders in the first half of the year.