Digital Footprint Data Enhances Cyber Claim Prediction Accuracy

• •Digital footprint data enhances cyber claim prediction accuracy.
• •Key indicators include ISP count and email provider diversity.
• •Insurers should integrate technographic insights into risk assessment.

Gallagher Re and KYND released a study indicating that digital footprint data significantly improves the prediction of cyber claims compared to traditional underwriting factors like revenue and industry. The research analyzed data from over 63,000 insured organizations and found that indicators such as distinct ISP count and email provider diversity are highly predictive of cyber claims. The study suggests that insurers should integrate these technographic insights into their risk assessment processes. This approach allows for a more nuanced understanding of an organization's external technology footprint, which is crucial for accurate underwriting. The findings highlight that organizations with complex digital footprints are more likely to face cyber claims, regardless of their size. The study emphasizes the importance of moving beyond traditional firmographic data to include observable digital indicators in risk management strategies.