Allianz Commercial head weighs in on the threat landscape
Generative artificial intelligence (AI), the resurgence of ransomware, an evolving regulatory environment, and a heated election year in the US are driving shifts in the cyber risk landscape for North American businesses this year.
That’s as cyber incidents remained the most significant global risk for the third year in a row, according to the 2024 Allianz Risk Barometer.
Cyber events are the top peril in 17 countries, including the US, and the second-biggest risk in Canada. Business leaders polled by Allianz were most concerned about data breaches (59%), attacks on critical infrastructure and physical assets (53%), and ransomware (53%).
“Unfortunately, I’m not surprised to see that cyber is still the highest risk on the list,” said Tresa Stephens (pictured), Allianz Commercial North America head of cyber. “It’s [no surprise] given how quickly those cyber exposures keep shifting alongside emerging developments in technology, like AI, and the regulatory landscape that must evolve to keep pace with how much we utilize technology and the new ways we use it.
“On top of that, cyber events are driven by threat actors with financial and political motives. So, in a tough economy or a challenging geopolitical or socio-political environment, you’ll see more individuals incentivized to participate in criminal activity online.”
‘Cat-and-mouse games’ – will ransomware surge continue in 2024?
The resurgence of ransomware attacks in 2023 helped stoke worries for US and Canadian organizations. Insurance claims activity linked to ransomware was up more than 50% last year compared with 2022, according to Allianz.
“Broadly speaking, I don’t think it’s likely to go away anytime soon. But we did see peaks