If you’re a regular reader of this site, it won’t surprise you to learn that cyber risks have once again taken the top spot as the biggest concern for U.S. businesses. According to the 2024 Travelers Risk Index, cyber threats now worry more business leaders than any other issue.
The annual survey conducted by The Travelers Companies, Inc., reveals that 62% of business leaders worry significantly about cyber threats. This marks the fourth time in six years that cyber risks have ranked as the primary business concern, overtaking last year’s top issues: medical cost inflation (59%) and rising employee benefits costs (59%).
“The findings speak to the business community’s greater awareness of cyber threats and the catastrophic damage, both operational and financial, a cyberattack can have on a company,” said Tim Francis, Enterprise Cyber Lead at Travelers. “What’s troubling is that while more businesses are securing cyber insurance as a tool to mitigate vulnerabilities, many still elect not to—despite knowing the risks.”
Cyber Insurance
Despite this heightened concern, nearly 30% of the surveyed businesses still do not have cyber insurance. However, the percentage of companies with cyber insurance policies has steadily increased, with 65% now holding coverage—up from 60% in 2023 and just 39% in 2018.
The rise in cyber insurance policies aligns with a slight increase in reported cyber incidents. In 2024, 24% of businesses experienced a cyber event, compared to 23% the previous year. More than half of these incidents occurred in the past year, continuing a trend of rising cyberattacks over the past nine years.
Key cyber concerns for businesses include security breaches and unauthorized access to financial accounts, both listed by 57% of respondents. Ransomware emerged as a growing threat, with 54% of participants citing it as a top issue, a sharp rise from last year.
Travelers Institute will host educational events in October for Cybersecurity Awareness Month, offering guidance on mitigating and responding to cyber incidents. To learn more, visit the Travelers Institute Events & Webinars page.
Source: Travelers Risk Index: Cyber Risks Reclaim Top Spot as Leading Business Concern.
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