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A new report shows that as the severity and sophistication of cyberattacks has increased along with the financial consequences, many companies have been prompted to invest in or review their cybersecurity insurance.

The high costs, both financial and reputational, of dealing with a cyberattack along with tighter regulations that means attacks must be reported have meant that many more organizations are seeking to protect themselves with cyber insurance.

A new report from cyber insurance provider Coalition shows a 12 percent increase in cyber claims over the first six months of this year, driven by the notable spikes in ransomware and funds transfer fraud (FTF).

A new survey of over 300 organizations in the US finds that the time and effort to obtain cyber insurance is increasing significantly.

Cyber insurance has often been seen by business leaders as a monetary guarantee that even if hackers do break into their networks and steal their data, they can still escape financially unscathed.

Ransomware accounts for 23 percent of cyber insurance claims, while while fraudulent funds transfer (FFT) accounts for 28 percent according to insurance specialist Corvus, which has released its latest Risk Insights Index.

The discipline of fraud prevention has changed dramatically over the past five years and continues to evolve rapidly. Consequently, former truths about fraud prevention are increasingly becoming outdated myths. Legacy vendors propagate these myths to maintain relevance, but industry leaders understand the distinction and are moving forward. 

Insurance companies exist to offer protection but theyre increasingly having to protect themselves against a range of cyberattacks.

Research from commercial insurance provider Corvus reveals that the cost of ransomware to businesses remains high.