Insurers and banks stop eight in ten cyber attacks

Insurance companies and banks have successfully prevented eight in ten cyber attacks on their organisations this year, up from approximately two in three over 2017.

 

Tuesday 1

Insurers and banks stop eight in ten cyber attacks

That is according to a report from consultancy firm Accenture, which shows that the vast majority of financial services companies worldwide are confident in their security protocols.

 

However, it was also found that over 40% of cyber breaches went undetected for more than a week this year, while a further 9% went unnoticed for at least a month.

 

Given the critical need to identify breaches within days or even hours to contain the damage, Accenture said the findings suggest executives may be overconfident in their security capabilities.

 

“Financial services firms are converging to a level of mastery when it comes to the security status quo, including their cyber resilience and response readiness,” Accenture Security financial services lead, Chris Thompson, said.

 

“But as business technology evolves, so too must cyber security. The technologies that banks and insurers are embracing will create new security risks, especially as cyber attacks evolve in sophistication.”

 

The research also shows that more than a third of banks and insurers hold their business partners to lower cyber security standards than they do for their own company, potentially leaving themselves vulnerable to outside security risks.

 

In addition, it was found that just two in five are investing in new technologies for cyber defences, despite most executives admitting they are essential to keeping their organisations secure.

 

Moreover, the research shows that just 18% of banks and insurers have at least doubled their cyber security spending over the last three years, with only 30% planning to do so in the next three.

 

“Cyber risks are moving beyond traditional enterprise boundaries as financial services becomes rapidly digitised and as open banking and third-party data sharing change how business gets done,” Thompson continued.

 

“Artificial intelligence, machine learning and robotic process automation can provide a consistent way to monitor for and combat these threats, but only if firms are willing to invest in them.”

 

Most popular

  1. Cryptocurrency market on ‘the brink of implosion’

    Investors should brace for an imminent collapse in the entire cryptocurrency market following a steep decline in the value of Bitcoin over the last year, a new study from Juniper Research has warned.

     

    Friday 12

    12 October 2018

  2. Insurers and banks stop eight in ten cyber attacks

    Insurance companies and banks have successfully prevented eight in ten cyber attacks on their organisations this year, up from approximately two in three over 2017.

     

    Tuesday 1

    02 October 2018

  3. Two-thirds of large firms at least considering blockchain

    Nearly two-thirds of large businesses with over 10,000 staff are looking to deploy new blockchain projects, up from around half last year, a new survey has found.

    Tuesday 18

    18 September 2018

White paper

  • Quarterly InsurTech Briefing Q1 2017

    Why InsurTech? A Pressured Insurance Value Chain

    By Andrew Sagon, Andrew Johnston and Matthew Wong

    InsurTech is a burgeoning phenomenon that is modernising the insurance industry. It is disrupting the traditional value chain whereby insurers offer loss protection, and shifting the emphasis to risk mitigation. Incumbents face disintermediation as investors in search of higher yields pour money into insurance-linked instruments in the capital markets. And entrepreneurial businesses are targeting friction costs and inefficiencies within every aspect of the traditional value chain.

     

     

  • Insurance big data – float like a butterfly, sting like a bee

    Nimbleness and agility will unlock potential

    By Elinor Friedman, Andrew Harley and Klayton Southwood

    Recent Willis Towers Watson surveys in the U.S. have shown that P&C and life insurers in developed markets are taking seriously the potential of big data and predictive analytics to improve their businesses. Nimbleness and agility, rather than brute force, are likely to be key to realizing that potential.

    Download PDF

  • The new era of insurance analytics

    Driven by technology, toolkits and talent

    By Claudine Modlin and Graham Wright

    Advanced analytics is helping some insurers offer innovative products and solutions. What do insurers need to know about the changing nature of analytics and whether it is worth the investment? Claudine Modlin and Graham Wright discuss technology, toolkits and talent — topics that may help you decide.

    Download PDF

  • How can we manage the dynamic nature of cyber-risk?

    Risk transfer is part of a comprehensive solution

    By Adeola Adele, Patrick Kulesa, Kevin Madigan and Alice Underwood

    Given the dynamic nature of cyber-risk, taking a multidimensional approach that integrates board governance, technology solutions, behavioral change and risk transfer solutions can help reduce risk to a manageable level.

    Whitepaper Form