The latest Cyber Readiness report from Hiscox insurance* paints a gloomy picture for businesses in North America and Western Europe. The headlines appear to say it all:
- Reported cyber incidents now affect 61% of businesses interviewed by Forrester Research – up from 45 % last year.
- The average cost of cyber incidents has grown by 61% to $369k
- 65% of businesses have experienced cyber issues with their supply chain in the last year.
- Nearly three quarters of UK businesses are novices when it comes to their cyber-preparedness.
- The frequency of attacks is also on the increase with firms reporting 4 or more attacks rising to 30%.
It’s a wonder that businesses aren’t simply taking their companies off-grid!
Behind the headlines there’s a slightly different story though…. After all, this is the first year where GDPR implementation has made an impact on incident reporting. It may well be the case that larger businesses are improving their breach detection skills and are moving away from the traditional mantra of exclusively focusing on a “defend the perimeter” approach. This makes sense. The powers awarded to the ICO to ensure compliance include the option of weighty fines.
When it comes to smaller businesses, however, some are still lost at sea when it comes to navigating the turbulent waters of cyber risk. Many remain in denial that they could be targeted by cyber criminals thinking it’s only the bigger fish that criminals want to hook. But, they do this at their peril. As the report makes clear, they are increasingly seen as a worthy catch with a 59% increase in smaller firms reporting attacks over the last year alone.
The highlighted increase in the frequency of attacks is symptomatic of a thriving Dark Web where tools, techniques and breached data are continuously traded and shared in a virtual Ponzi cyber risk scheme. Looking exclusively inside your network to detect data breaches is no longer an option. This is where a better understanding of risk, coupled with modern detection tools, can help you to protect your company’s data, reputation, revenue and operations.
To find out more about the role of the Dark Web in enabling cyber-attacks and what you can do about it – join us on our up-coming webinar: