Research by Lloyd's of London has revealed has revealed that a catastrophic cyber attack could cost up to $120 Billion--equivalent to disasters Hurricanes Katrina and Sandy. The report compares various scenarios of cyber attacks, with average economic losses at a wide range. The report states: "Because of the uncertainty around aggregating cyber losses, this figure could be as high as $121 billion or as low as $15 billion."
With such high potential losses and an economy dependent on digitization, ensuring cyber protection and security is of utmost importance.
Inga Beale, CEO of Lloyd's, says, "This report gives a real sense of the scale of damage a cyber-attack could cause the global economy. Just like some of the worst natural catastrophes, cyber events can cause a severe impact on businesses and economies, trigger multiple claims and dramatically increase insurers’ claims costs."