Axa Xl

Between 2019 and 2023, technology experienced large losses primarily from other causes (38.0%), followed by ransomware (32.0%) and data breaches (30.0%).

The average duration business operations were affected by ransomware in professional services was 85 days.

The average duration business operations were affected by ransomware in other industries was 44 days.

In 2023, organizations took an average of 32 days to restore operations after a ransomware attack.

For data breach cases where the attackers themselves disclosed the breach, it took an average of 38 days to notice the attacker prior to 2019.

For data breach cases where the attacker was detected by a third-party, it took an average of 91 days to notice the attacker since 2019.

2010–2017: 62.3% of large cyber losses came from other causes, 37.7% came from data breaches, and ransomware caused 0.0% of major losses. At this stage, ransomware claims were rare, and most large claims stemmed from breaches and miscellaneous incidents.

2020: 27.3% of large losses came from other causes, 29.2% from data breaches, and 43.4% from ransomware. Ransomware remained a dominant source of costly claims.

37.2% of large losses came from other causes, 16.0% from data breaches, and 46.6% from ransomware. While other causes ticked up, ransomware continued to generate nearly half of the most expensive claims.

Average initial ransom demand (based on all cases with ransom demand) in 2023: $32.25 million.

Business interruption was triggered as the main driver of loss in 17.5% of claims (primary 15.1%, excess 23.3%), triggered with some loss impact in 12.6%, triggered with no loss impact known in 7.3%, and not triggered in 62.6%.

In 16% of large ransomware claims, attackers leveraged compromised or weak credentials to gain entry.

Average initial ransom demand (based on all cases with ransom demand) in 2022: $21.46 million.

In 2019, victims paid on average 56.9% of the initial ransom demand.

In 35.7% of data breach cases prior to 2019, the company’s own IT team or outsourced service providers detected the attack.

Data recovery was triggered as the main driver of loss in 1.3% of claims, triggered with some loss impact in 17.5%, triggered with no loss impact known in 5.0%, and not triggered in 76.2%.

For data breach cases where the attacker was detected by a third-party, it took an average of 136 days to notice the attacker prior 2019.

Between 2019 and 2023, other sectors experienced large losses primarily from ransomware (53.1%), followed by data breaches (25.0%) and other causes (21.9%).

In 6.4% of cases since 2019, the attackers themselves disclosed the breach.

Companies with revenues between $250M and $500M had an average relative frequency of large claims on primary policies of 1.19.

In 42.9% of cases prior to 2019, breaches were first flagged by outside parties such as security firms, regulators, or customers.

The average duration business operations were affected by ransomware in financial services was 33 days.

The average duration business operations were affected by ransomware in manufacturing was 62 days.

For data breach cases where the attackers themselves disclosed the breach, it took an average of 17 days to notice the attacker since 2019.

Average initial ransom demand (based on all cases with ransom demand) in 2021: $17.39 million.

In 2023, victims paid on average 39.1% of the initial ransom demand.

Business interruption coverage was triggered in 17.5% of all claims, occurring more frequently in excess claims(23.3%) than in primary claims (15.1%).

In 2019, organizations took an average of 76 days to restore operations after a ransomware attack.

Privacy and cyber security coverage was triggered in 13.2% of all claims, with a higher prevalence in excess claims(22.2%) compared to primary claims (9.4%).

In 49.2% of large ransomware claims, attackers gained access by exploiting system vulnerabilities.

Between 2019 and 2023, manufacturing experienced large losses primarily from ransomware (86.7%), followed by other causes (10.0%) and data breaches (3.3%).

Companies with revenues between $500M and $750M had an average relative frequency of large claims on primary policies of 1.40.

Companies with revenues between $750M and $2B had an average relative frequency of large claims on primary policies of 1.80.

Companies with revenues above $2B had an average relative frequency of large claims on primary policies of 1.86.

2021: 29.7% of large losses came from other causes, 23.7% from data breaches, and 46.6% from ransomware. Ransomware overtook all other causes and drove nearly half of the biggest cyber claims.

In 14.3% of cases prior to 2019, the source of detection was miscellaneous or unknown.

In 2021, organizations took an average of 77 days to restore operations after a ransomware attack.

Ransomware claims accounted for 54.3% of cyber claims in the sample for the period of 2019 and onwards.

The average duration business operations were affected by ransomware in health care was 70 days.

88% of all incurred losses from AXA XL cyber claims over the last decade arise from claims that surpass $1 million, suggesting that a relatively small number of large claims are responsible for the majority of cyber losses.

2023: 24.0% of large losses came from other causes, 13.3% from data breaches, and 62.8% from ransomware. Ransomware reached a record high, driving almost two-thirds of the largest cyber insurance payouts.

Average initial ransom demand (based on all cases with ransom demand) in 2019: $7.77 million.

In 17.0% of cases since 2019, breaches were first reported by external parties.

Between 2019 and 2023, healthcare experienced large losses primarily from ransomware (57.1%), followed by data breaches (28.6%) and other causes (14.3%).

In 2021, victims paid on average 33.9% of the initial ransom demand.

Average initial ransom demand (based on all cases with ransom demand) in 2020: $11.25 million.

In 2023, 88.9% of backups were not affected by ransomware.

Between 2019 and 2023, retail experienced large losses primarily from ransomware (50.0%), followed by other causes (30.0%) and data breaches (20.0%).

Before 2023, 37.2% of backups were not affected by ransomware.

Businesses typically required around two full months to restore operations following a ransomware attack.