Cyber liability claims skyrocketing – Acuity

Wisconsin-based Acuity Insurance has reported an increased need for cyber liability insurance among both personal and business policyholders as cybercrime continues to grow.

Between June 2021 and June 2022, Acuity Insurance saw cyber liability claims on its commercial insurance policies spike by more than 50%. For personal policies, Acuity reported a 90% increase in cyber claims in 2021 over 2020.

“Our lives, homes and businesses are more connected than ever,” said Steve Maliborski, general manager of commercial products at Acuity. “Being connected leads to a greater risk of cyberattacks, which aren’t covered under standard homeowners or business insurance policies.”

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Acuity stressed that everyone – both individuals and business owners – was at risk of cyberattack. Between 2019 and 2021, cyberattacks increased 50% each year on the previous year. Wire fraud and gift-card scams were two of the most common kinds of cyberattack impacting both businesses and individuals, Acuity found.

“Scams involving social engineering are some of the easiest to fall for, as fraudsters exploit a person’s trust to obtain money or personal information, which can then be used for unauthorized withdrawals of money,” said Bob Hertel, director of personal lines product development at Acuity Insurance. “Cyber insurance can protect you from financial loss caused by wire transfer fraud, phishing attacks, cyber extortion, cyberbullying and more.”