The market for cybersecurity coverage is expected to grow rapidly as increased data breach risks convince businesses that current insurance policies offer inadequate protection against cyber risks.
A recent article in PropertyCasualty360 identifies the top 10 most expensive data breaches to date:
- Epsilon – $100 million-$4 billion
- Veterans Administration – up to $500 million
- Hannaford Bros – $252 million
- Sony PlayStation – $171 million
- Target – $162 million
- TJ Maxx – $162 million
- Heartland Payment Systems – $140 million
- Anthem – $100 million+
- Sony Pictures Entertainment – $100 million
- The Home Depot – up to $56 million
Consumers caught up in data breaches that target retailers, entertainment companies, and health care providers are usually innocent victims. They face exposures in a variety of ways in the near and longer term, including but not limited to:
- Compromised credit and debit cards
- Stolen email addresses
- Lost payroll records
- Theft of Social Security numbers
- Risk of identity theft
Companies that suffer the data breach must deal with significant costs associated with fines, penalties, reputational harm, loss of sales, legal defense fees, and uncovered claims.
Security firm Kroll estimates that the average cost of a data breach was $5.9 million in 2014, up 9% from the previous year.
Click on the link to read the full article, titled “The 10 most expensive data breaches to date.”
