Closing the Cyber Risk Protection Gap

This report addresses the cyber risk protection gap, a significant societal issue exacerbated by increasing dependence on digital technologies. It outlines the urgent need for collective action from the insurance industry and the public sector to mitigate the growing risks associated with cyberattacks. The report presents strategies to enhance the functionality of the private cyber insurance market, identifies areas of limited insurability, and suggests principles for public-private partnerships. It emphasizes the importance of strengthening cyber resilience, managing both quantifiable and unquantifiable cyber risks, and fostering partnerships to ensure effective risk management. The document discusses the projected growth of the cyber insurance market and highlights the alarming gap between insured and economic losses due to cyber incidents. It also underscores the necessity of improving cyber hygiene and awareness among organizations, particularly small- and medium-sized businesses, to reduce vulnerabilities. The report serves as a call to action for stakeholders to collaborate in addressing these critical challenges.