Identity Fraud Statistics

Key Takeaways

• 12023: Phishing accounted for 66% of data breach initial access vectors used in breaches reported to Verizon DBIR 2024.
• 22023: Web application attacks accounted for 26% of breaches in the Verizon DBIR.
• 3In 2023, 61% of breaches involved compromised credentials (as reported in Verizon DBIR).
• 4ACFE 2024: Fraud median loss was $300,000 for the category of corruption and $250,000 for the category of financial statement fraud (identity fraud frequently overlaps with these categories).
• 5The FBI’s IC3 reported $10.3 billion in total losses from fraud in 2023.
• 6FBI IC3 2023: $3.6 billion was reported for identity theft / impersonation-related scams under fraud categories.
• 72024: Identity verification market is forecast to reach $16.5 billion by 2030 (MarketsandMarkets forecast).
• 82024: The identity verification market size was estimated at $3.2 billion in 2023 (MarketsandMarkets).
• 9MarketsandMarkets forecast: identity verification market is expected to grow at a CAGR of 30.8% from 2024 to 2030.
• 102024: 84% of organizations use some form of fraud detection software (ACFE/industry survey).
• 112024: 27% of organizations use document verification as part of KYC (LexisNexis risk/ID verification survey).
• 122024: 73% of organizations consider identity verification a critical requirement to onboard customers (LexisNexis survey).
• 132024: 76% of organizations experienced at least one identity-related data breach (Ponemon/IBM identity-related).
• 142024: Organizations with a breach caused by compromised credentials had higher average costs ($5.1 million vs. $4.1 million for others) (IBM).
• 15In the IBM 2024 report, security teams spend an average of 31 days to remediate a data breach.

In 2023 and 2024, phishing and compromised credentials drove breaches, while identity theft losses soared amid rising identity verification spending.