Addressing the Surge in Cyber Insurance Claims With Boundary Device Security

According to an article in Risk Management Magazine, cyber insurance claims saw a 13% increase in frequency and a 10% rise in severity in 2023, averaging losses of $100,000. This highlights the growing importance of businesses securing their networks, particularly through boundary devices like VPNs, firewalls, and routers. 

These devices protect data, ensure regulatory compliance, and enable secure remote work. However, their vulnerabilities also present significant risks, as they can be prime targets for cyberattacks.

Recent critical vulnerabilities in devices from Ivanti, Fortinet, and SonicWall underscore the potential for unauthorized access, data breaches, and service disruptions. Moreover, threats such as phishing and attacks on remote desktop protocols exploit these devices, emphasizing the need for robust cybersecurity measures.

To mitigate risks, the article suggests businesses should carefully select boundary devices with strong security histories, subscribe to vendor advisories, and establish regular patching schedules. Proper configuration, including multi-factor authentication and limiting access privileges, is also crucial. Additionally, organizations must prepare for potential breaches by developing and testing incident response plans, collecting and analyzing security data, and ensuring a swift recovery process.

The article also notes that a recovery-in-depth approach, combined with insurance, helps businesses minimize losses and return to normal operations after a breach. As cyber threats evolve, alternative security models like the secure access service edge (SASE) and zero-trust architectures offer more robust protections, although they require significant investment. By staying vigilant and proactive in their cybersecurity strategies, businesses can better navigate the complex landscape of cyber threats.