Following two years of high but stable loss activity, 2023 saw a worrying resurgence in ransomware and extortion losses as the cyberthreat landscape continues to evolve, writes Scott Sayce, global head of Cyber Insurance at Allianz Commercial.
As a global insurer, Allianz Commercial’s analysis of large cyber losses in recent years shows that the number of cases in which data is exfiltrated is increasing – doubling from 40% in 2019 to almost 80% in 2022, with activity in 2023 tracking even higher. Voice simulation software has already become a powerful addition to the cybercriminal’s arsenal. There was the case of the CEO of a British energy provider transferring around $250 000 to a scammer after they received a call from what they thought was the head of the unit’s parent company, asking them to wire money to a supplier. The voice was generated using AI. Deepfake video technology designed and sold for phishing frauds can also now be found online – for prices as low as $20 per minute.
Criminals are now targeting mobile devices with specific malware to gain remote access, steal login credentials, or deploy ransomware. Personal devices tend to have less stringent security measures. Utilising public wi-fi on such devices can increase their vulnerability including exposure to phishing attacks via social media.
In short, because technology is moving so fast, there are not enough experienced people to keep pace with the threats. It’s very hard to get good cybersecurity engineers which means companies are more exposed to cyber events.