The Latest Cybersecurity In The Financial Industry Statistics Explained
The average cost of a cybercrime for a financial industry company was over $18.3 million in 2020.
The statistic that the average cost of a cybercrime for a financial industry company was over $18.3 million in 2020 highlights the significant financial impact that cyberattacks can have on organizations within this sector. This figure encompasses various expenses incurred as a result of cybercrimes, including costs associated with addressing and mitigating the attack, potential financial loss due to data breaches or theft, as well as expenditures related to cybersecurity enhancements and regulatory compliance. The high cost underscores the importance for financial industry companies to invest in robust cybersecurity measures to protect themselves from cyber threats and safeguard their sensitive data and assets.
Approximately 27.9% of financial services organizations experienced DNS Attacks in 2019.
The statistic “Approximately 27.9% of financial services organizations experienced DNS Attacks in 2019” indicates that nearly 28% of companies in the financial services industry encountered Domain Name System (DNS) attacks during the year 2019. DNS attacks can disrupt the normal functioning of a company’s online presence by targeting the DNS infrastructure responsible for translating domain names into IP addresses. This statistic suggests that DNS attacks were a significant cybersecurity threat for financial services organizations in 2019, highlighting the importance of implementing robust security measures to protect against such threats.
31% of hacks in the financial industry are due to web applications vulnerabilities.
This statistic indicates that approximately 31% of security breaches or hacks within the financial industry are attributable to vulnerabilities present in web applications. This suggests that a significant portion of cybersecurity incidents within financial institutions are occurring as a result of weaknesses or flaws in the software applications used by these organizations. Such vulnerabilities could potentially be exploited by malicious actors to gain unauthorized access to sensitive data, conduct fraudulent activities, or disrupt services. As such, it underscores the importance of robust security measures, ongoing monitoring, and timely patching of web applications to mitigate the risks posed by cyber threats in the financial sector.
71% of C-Level executives at financial institutions are worried about their firm’s potential to cope with cyber crime.
The statistic indicates that a significant majority, specifically 71%, of C-Level executives within financial institutions are expressing concern about their organization’s ability to effectively address and withstand cyber crime threats. This level of worry among high-ranking executives highlights the recognition of the serious and evolving nature of cyber security risks within the financial sector. These concerns are likely driven by the increasing frequency and complexity of cyber attacks targeting financial institutions, as well as the potential financial and reputational damages that could result from a successful breach. As a result, it is crucial for these executives to prioritize and invest in robust cybersecurity measures to safeguard their firms’ data, operations, and overall reputation in the face of growing cyber threats.
It takes an average of 279 days to identify and contain a data breach in the financial sector.
The statistic states that within the financial sector, on average, it takes approximately 279 days to both identify and contain a data breach. This metric reflects the time duration from the initial occurrence of a breach to when it is finally remediated and the system secured. A longer timeframe may indicate the complexity and severity of the breach, highlighting potential weaknesses in the sector’s cybersecurity protocols. It underscores the importance of robust prevention measures and rapid response strategies in safeguarding sensitive financial data against cyber threats, as prolonged breach detection and containment can lead to significant financial losses and reputational damage for institutions within the sector.
In 2020, phishing attempts grew by 350% during the Covid-19 pandemic targeting banking industry.
The statistic indicates a significant and alarming increase in phishing attempts during the Covid-19 pandemic in 2020, specifically targeting the banking industry. The 350% growth rate implies that the number of fraudulent emails, messages, or websites attempting to steal sensitive financial information from individuals and institutions within the banking sector increased dramatically compared to previous years. This surge in phishing attacks can be attributed to the increased reliance on digital banking and online transactions as a result of lockdowns and social distancing measures during the pandemic. It underscores the importance of cybersecurity measures and vigilance by both financial organizations and individuals to protect against such cyber threats.
61% of financial organizations experienced a destructive cyber attack in the past year, as of 2020.
The statistic indicates that as of 2020, 61% of financial organizations surveyed reported experiencing a destructive cyber attack within the past year. This finding highlights the pervasive and significant threat that cyber attacks pose to the financial sector, with a majority of organizations being directly impacted. Such attacks can have serious consequences, including financial losses, reputational damage, and potential disruption of services. This statistic underscores the urgent need for financial organizations to prioritize cybersecurity measures to safeguard their systems and data from malicious actors in an increasingly digital and interconnected landscape.
26% of financial services companies said they witnessed a surge in cyber attacks due to Covid-19.
The statistic that 26% of financial services companies reported experiencing an increase in cyber attacks as a result of the Covid-19 pandemic indicates that a significant portion of the industry has observed a rise in security threats during the global health crisis. This finding suggests that the shift to remote working and increased online activity due to the pandemic may have created vulnerabilities that cyber attackers are capitalizing on. The financial services sector, which holds sensitive financial data and is a prime target for cyber criminals, must enhance their cybersecurity measures to mitigate these risks and protect both their organizations and their clients from potential security breaches.
The Cybersecurity workforce gap in financial sector is projected to reach 1.8 million by 2022.
The statistic indicates that the financial sector is currently facing a significant shortage in cybersecurity professionals, and this gap is expected to widen even further to 1.8 million by the year 2022. This implies that there will be a substantial deficit in skilled individuals who can effectively protect financial institutions from cyber threats and attacks. Such a shortage can pose serious risks to the security and integrity of financial systems, potentially exposing sensitive customer data and leading to financial losses. It underscores the urgent need for the financial sector to invest in training and attracting cybersecurity talent to bridge this workforce gap and strengthen their defense against evolving cyber threats in the digital age.
Around 92% of malware is still delivered by email in the financial industry.
The statistic that around 92% of malware is still delivered by email in the financial industry highlights a significant cybersecurity challenge faced by organizations in this sector. Despite advancements in technology and increased awareness of cybersecurity threats, email continues to be a primary vector for delivering malicious software. This statistic underscores the importance of robust email security measures and employee training to prevent phishing attacks and protect sensitive financial data. Financial institutions must continuously enhance their cybersecurity defenses to safeguard against evolving threats and ensure the integrity of their operations and customer information.
Roughly 90% of money mule activity in 2019 used financial sector credentials.
This statistic indicates that approximately 90% of fraudulent activity involving money mules in 2019 utilized financial sector credentials, suggesting a prevalent trend of criminals exploiting the banking and financial industry for illicit purposes. Money mules are individuals who are recruited by criminal organizations to facilitate the transfer of illegally obtained funds, often without the mule’s awareness of the criminal nature of the transactions. The high percentage of cases involving financial sector credentials highlights the vulnerability of the banking system to such fraudulent schemes and underscores the need for enhanced security measures and vigilance in combating financial crimes.
Cybersecurity incidents in the financial services sector increased by about 80% from 2016 to 2017.
The statistic indicates a concerning trend in the financial services sector, showing a substantial 80% increase in cybersecurity incidents from 2016 to 2017. This sharp rise suggests a growing vulnerability to cyber threats within financial institutions, posing potential risks to sensitive data, financial transactions, and customer privacy. Such a significant surge in incidents could be attributed to various factors, including advances in cyber attack techniques, increased digitization of financial services, or perhaps inadequate cybersecurity measures being taken by organizations within the sector. This statistic underscores the pressing need for continuous vigilance, robust cybersecurity strategies, and investments in safeguarding the digital infrastructure of financial services institutions to mitigate the escalating threats posed by cyber risks.
The average time to resolve a cyber-attack in financial services is 46 days.
The statistic ‘The average time to resolve a cyber-attack in financial services is 46 days’ signifies the typical duration taken by financial institutions to fully mitigate and recover from a cyber-attack incident. This metric provides insight into the average efficiency and effectiveness of response measures within the financial services sector when facing cybersecurity threats. A longer resolution time implies potential challenges in identifying and containing the attack, restoring systems and data integrity, and implementing further safeguards to prevent future breaches. Analyzing and improving upon this average duration is crucial for organizations to enhance their cyber resilience and minimize the impact of security incidents on their operations, reputation, and stakeholders.
Approximately 92% of all malware is delivered via email in the financial industry.
This statistic indicates that the financial industry experiences a high proportion of malware delivery through email, with approximately 92% of all malware targeting this sector being transmitted via email. This highlights the vulnerability of financial institutions to email-based cyber threats, signaling the importance of robust email security measures and employee training to mitigate the risks associated with phishing attacks, malicious attachments, and other email-borne malware. Strengthening email security protocols and promoting cybersecurity awareness among employees in the financial sector are crucial steps to safeguard sensitive information, prevent financial losses, and uphold data integrity in the face of increasing cyber threats.
Online banking fraud gains increased by 48% in 2019.
The statistic states that the gains from online banking fraud increased by 48% in the year 2019 compared to the previous year. This indicates a significant rise in fraudulent activities targeting online banking platforms, which could be attributed to advancements in technology and increased connectivity, providing cybercriminals with more opportunities to exploit vulnerabilities. This increase in online banking fraud gains represents a growing threat to individuals and financial institutions, highlighting the importance of implementing strong security measures and educating the public on how to protect themselves from cyber threats in the digital age.
More than 200,000 malware samples were identified daily throughout 2019.
The statistic ‘More than 200,000 malware samples were identified daily throughout 2019’ indicates the significant and persistent threat posed by malware in the digital landscape. Malware refers to malicious software designed to disrupt, damage, or gain unauthorized access to computer systems and networks. The fact that over 200,000 unique malware samples were detected each day in 2019 highlights the scale and complexity of cyber threats faced by individuals, organizations, and governments worldwide. This statistic underscores the importance of robust cybersecurity measures, continuous monitoring, and proactive defense strategies to safeguard sensitive data, secure systems, and protect against evolving cyber threats.
Financial industry is 300 times more likely to be targeted by a cyberattack compared to other industries.
The statistic that the financial industry is 300 times more likely to be targeted by a cyberattack compared to other industries suggests a significant disparity in the risk of cyber threats facing the financial sector. This indicates that organizations within the financial industry are at a much higher risk of experiencing cyberattacks compared to businesses in other sectors. The heightened targeting of the financial industry may be attributed to the vast amount of sensitive financial data and assets that these institutions possess, making them lucrative targets for cybercriminals seeking to steal valuable information or disrupt financial systems. This statistic underscores the critical importance for companies in the financial sector to have robust cybersecurity measures in place to safeguard their operations and protect against potential cyber threats.
In 2019, one in three cyber attacks in the financial sector was caused by an insider.
The statistic stating that one in three cyber attacks in the financial sector in 2019 was caused by an insider signifies a significant threat to the security of financial institutions from within their own organizations. This statistic indicates that internal actors such as employees, contractors, or business partners were responsible for a substantial proportion of cyber incidents, highlighting the importance of addressing insider threats alongside external cyber defenses. These findings underscore the need for comprehensive cybersecurity measures that not only focus on external threats but also on monitoring and managing potential risks from within the organization to safeguard sensitive financial data and systems effectively.
Cyber breaches cost financial services firms on average $18.5 million, which is 50% more than in other sectors.
The statistic indicates that financial services firms incur an average cost of $18.5 million due to cyber breaches, which is significantly higher compared to other sectors. This suggests that the financial services industry faces greater financial repercussions from cyber attacks than other sectors. The substantial cost could be attributed to the sensitive nature of financial data and the higher potential for regulatory fines and legal settlements in the event of a breach. The statistic underscores the importance for financial services firms to invest in robust cybersecurity measures to mitigate the financial impact of cyber incidents and safeguard both their own assets and those of their clients.
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