In this edition of WRIN.tv’s Cyber Report, a Gartner study forecasts that 6.4 billion things will be inter-connected worldwide in 2016, with spending on support for the Internet of Things (IoT) to hit $235 billion. A cyber-security guru described the Internet of Things as “The Internet of Threats”, as the U.S. Federal Government says the global Internet of Things will force an increase in security research and spending through 2025.

Cyber-attacks are costing businesses $400 to $500 billion a year. Accenture believes the Internet of Things will disrupting many business models, including traditional insurance, but sees opportunity for insurers to become “Insurers of Things.”

Willis reports Cyber Risk Insurance premiums have reached $2 Billion, and expects the market to reach $20 Billion by 2025.  Most buyers are experiencing 15% increases in premiums, with some retailers and large health care companies seeing 150% increases.

Uptake of Cyber insurance in Europe and elsewhere continues to be dramatic. Perhaps that’s due to sentiments reflected in comments by Andrew Bailey, deputy governor of the Bank of England and chief executive of the Prudential Regulatory Authority (PRA) who said Cyber is “a risk that we are not going to beat … “

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