327 words…less than a two minute read

What’s happening: Aon recently filed a comment letter with the Federal Insurance Office, U.S. Department of the Treasury, calling for the U.S government to provide a federal backstop to risks that are unique to cybersecurity. According to Aon, the creation of a government response has the potential to address the economic impact of major systemic cyber losses, support new capacity in the cyber market and incentivize adoption of cybersecurity measures.

By the numbers:

• Aon’s 2022 Executive Risk Survey of C-suite leaders and other senior executives found that 40 percent of respondents reported that their organizations were spending a lot of time addressing the threat of cyber attacks.
• According to Scott Swanson, security advisory practice leader at Aon’s Cyber Solutions, “If you’re spending $1 million on cyber security and the value of your trade secret is $100 million, maybe you should be spending a little bit more to identify and protect that metadata. A trade secret is sensitive information, and that’s what we look to protect with cyber security.” Check out Aon’s The One Brief for additional insights from Swanson on metadata and learn how companies can stop cyber crime.
• The number of ransomware attacks has increased significantly – up 323 percent from Q1 2019 to Q4 2021. Check out Aon’s E&O And Cyber Market Review 2022 for information on loss trends, pricing trends and structural changes in the E&O and cyber insurance market and recommendations to support successful insurance transactions. According to Aon’s Q3 2022 Global Market Insights Report, the market continues to experience an increase in the frequency and severity of ransomware attacks across all sectors.

Learn more about Aon’s comment letter in AM Best and listen to episodes 37 and 42 of our “On Aon” podcast for a discussion on cyber threat hunting and proactive measures that Aon helps organizations take to ensure they build resilience against cyber attacks.