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HSB cyber poll finds cloud disruptions cost millions

Business losses stem from ransomware and data breaches

Three-quarters of U.S. businesses use the cloud for data storage and almost half have had a service interruption with losses in some cases totaling up to $1 million or more, according to HSB's latest cyber survey of business owners and executives.

Are you prepared?

“When you consider that most companies use the cloud, they have a serious exposure to business interruption losses,” said Timothy Zeilman, vice president for HSB. “Technology has rewards but businesses must prepare for the risks.”

Costs of $250,000, $1 million, or more

The poll conducted for HSB by Zogby Analytics found that 41 percent of businesses, at some point, experienced an interruption of cloud services. Of those businesses, 77 percent reported the disruption resulted significant losses: more than $1 million in 34 percent of the cases and $250,000 to $1 million in another 30 percent of the incidents.

Cyber attacks and ransomware

The HSB sponsored survey on cybersecurity practices and attitudes also polled business executives on their experience with cyber attacks, including ransomware and data breaches.

Almost half of businesses pay

Thirty-two percent of the businesses surveyed had a ransomware or other cyber extortion attack in the past year. Almost one-half (43 percent) of those businesses paid the ransom with $1,000 to $5,000 being the amount that was most frequently demanded (43 percent of the cases).

Big losses from data breach

Data breaches were reported by 26 percent of the businesses: 34 percent of the breached businesses spent $50,000 to $100,000 to respond to each incident and 20 percent spent more than $100,000.

HSB responds to emerging exposures

HSB's cyber surveys track emerging trends in cybersecurity and help us develop products and services that respond to changing exposures for businesses and consumers.

HSB Total Cyber™ offers a range of coverages

Visit our website for more information about HSB's cyber insurance coverages, including HSB Total Cyber™ for data breach, cyber attacks, misdirected payment fraud, cyber liability, and more.

HSB cyber poll finds cloud disruptions cost millions