Cyber attacks cost financial services firms more to address and contain than in any other industry, and the rate of breaches in the industry has tripled over the past five years, according to a study conducted by the Ponemon Institute. The report, Cost of Cyber Crime Study, examines the costs that organizations incur when responding to cybercrime incidents and applies a costing methodology that allows year-over-year comparisons.
It found that the average cost of cybercrime for financial services companies globally has increased by more than 40 percent over the past three years, from $12.97 million per firm in 2014 to $18.28 million in 2017 – significantly higher than the average cost of $11.7 million per firm across all industries included in the study. The analysis focuses on the direct costs of the incidents and does not include the longer-term costs of remediation.
The report also notes while cyberattacks have a greater financial impact on the financial services industry than on any other industry, financial services firms continue to make prudent and sophisticated security technology investments that contribute to reducing the cost of breaches significantly.
Read more about the findings of the Cost of Cyber Crime Study by the Ponemon Institute on Help Net Security.