**Safeguarding Against Cyber Threats: Strategies for Protecting and Insuring Corporate Assets**

October 2, 2025

Vienna, Austria – A new report reveals that apprehension regarding cybercrime is intensifying across Austrian businesses, with a substantial increase in those acknowledging the potential for attacks. Though, despite heightened awareness, investment in comprehensive cybersecurity infrastructure isn’t keeping pace, leaving many organizations vulnerable.

Rising Threat Perception Among Businesses

A recent study conducted by Triple M Matzka Market and Opinion Research KG, commissioned by EY Ernst & Young ServicegmbH, surveyed 200 Austrian companies employing 20 or more individuals. The findings, gathered between June 3 and July 2, 2025, highlight a significant shift in how businesses perceive the risk of cyberattacks. Approximately 47 percent of respondents now assess the threat level as high or very high, a notable increase from 35 percent in 2024.

Larger enterprises, those with annual revenues exceeding 51 million euros, exhibit a greater sense of vulnerability, with 61 percent reporting a high or very high risk. Conversely,smaller companies,generating less than 10 million euros annually,demonstrate a comparatively lower concern,at 37 percent. Industry variations also emerge, with the construction and real estate sectors expressing the highest level of concern (60 percent), while trade and consumer goods businesses report the lowest (36 percent). insurance companies demonstrate notable foresight, with 57 percent of respondents anticipating a significant increase in cyberattacks and data breaches.

Attack trends and Financial Impacts

The study reveals that 32 percent of surveyed companies have experienced specific cyberattacks or data compromises in the past five years, marking a ten percentage point increase from the previous year. Attacks are increasingly targeting Sales, Human Resources, and upper management, alongside traditional targets like Finance and Credit departments. Phishing schemes and malware infections remain the most frequently reported attack vectors.

Notably, 17 companies reported receiving exorbitant ransom demands following cyberattacks; however, none of these businesses yielded to the requests.

Budgeting and Protective Measures

Despite the increasing peril, a concerning 34 percent of companies lack a dedicated cybersecurity budget. Onyl nine percent allocate more than 25,000 euros annually to IT security, although one in five companies intends to increase their cybersecurity spending over the next two years.

When it comes to preventative actions, 88 percent of companies rely on rules, security updates, and patches, while 87 percent employ firewalls and antivirus software. multi-factor authentication is utilized by 77 percent of respondents, and 72 percent encrypt sensitive data. A positive trend is the increase in employee training, with 22 percent of companies now offering cybersecurity awareness programs.

Currently, 47 percent of companies have cyber insurance, with insurers themselves exhibiting the highest adoption rate (86 percent), contrasting with the automotive/transport sector (32 percent). In the last year, raising employee awareness (70 percent) and modernizing IT infrastructure (63 percent) were identified as the most frequently implemented security measures.

Security Measure	adoption Rate (%)
Security Updates & Patches	88
Firewalls & Antivirus	87
Multi-Factor Authentication	77
data Encryption	72
Employee Training	78
Cyber Insurance	47

The NIS 2 Directive and Future Preparedness

The new Cyber Security Directive, NIS 2, impacts 51 of the 200 companies surveyed. A quarter have fully implemented the directive’s requirements, while one-third are currently in the planning stages. two-thirds of affected organizations have already addressed technical security aspects of the regulation. Experts emphasize that NIS 2 provides an possibility to not only ensure compliance but also strengthen overall organizational resilience.

Staying Ahead of the Curve: Long-term Cybersecurity Strategies

The evolving threat landscape necessitates an ongoing commitment to cybersecurity. Businesses must move beyond reactive measures and embrace a proactive, risk-based approach. Key strategies include regular vulnerability assessments, penetration testing, incident response planning, and continuous employee training.Investing in advanced security technologies, such as artificial intelligence-powered threat detection systems, is also crucial.

Did You Know? The average cost of a data breach in 2024 reached $4.45 million, according to IBM’s Cost of a Data Breach Report.

Pro Tip: Don’t rely solely on technical solutions. A strong cybersecurity culture,where all employees understand their role in protecting sensitive data,is paramount.

frequently Asked Questions About Cybersecurity

• What is Cybersecurity? Cybersecurity encompasses the practices and technologies designed to protect computer systems, networks, and data from digital attacks.
• Why is Cybersecurity Significant? Cybersecurity is vital for protecting sensitive details, maintaining business continuity, and preserving trust with customers.
• What are the most common types of Cyberattacks? Common attacks include phishing, malware, ransomware, and distributed denial-of-service (DDoS) attacks.
• What is Multi-Factor authentication? Multi-factor authentication adds an extra layer of security by requiring users to provide multiple forms of verification.
• How can businesses improve their Cybersecurity? Businesses can enhance their security through employee training, regular software updates, strong passwords, and robust security systems.
• What is the NIS 2 Directive? The NIS 2 Directive is a European Union directive aimed at strengthening cybersecurity standards across critical infrastructure sectors.
• What role does cyber insurance play in cybersecurity? Cyber insurance can help organizations mitigate the financial impact of a data breach or cyberattack.

Are you confident your organization is adequately prepared for the evolving cybersecurity landscape? What steps are you taking to safeguard your data and systems?

What specific regulatory frameworks (e.g., GDPR, CCPA, HIPAA) might a business need to comply with regarding cybersecurity, and how does implementing robust cybersecurity measures help meet these requirements?

Understanding the Evolving Cyber Threat Landscape

The digital age has brought unprecedented opportunities for businesses, but also a surge in refined cyber threats. From ransomware attacks and data breaches to phishing scams and denial-of-service attacks, the risks are constantly evolving. Protecting corporate assets – including financial data, intellectual property, customer details, and operational systems – is no longer optional; it’s a business imperative. Ignoring cybersecurity can lead to significant financial losses, reputational damage, legal liabilities, and operational disruptions. Understanding the current threat landscape is the first step towards effective cyber risk management.

Proactive Cybersecurity Measures: A Multi-Layered approach

A robust cyber defense strategy requires a multi-layered approach, encompassing technology, processes, and people. Here’s a breakdown of essential proactive measures:

* Endpoint Protection: Implement advanced endpoint detection and response (EDR) solutions, next-generation antivirus (NGAV), and firewalls on all devices – laptops, desktops, servers, and mobile devices.

* network Security: Secure your network with intrusion detection and prevention systems (IDS/IPS), virtual private networks (VPNs) for remote access, and network segmentation to isolate critical systems.

* Data Encryption: Encrypt sensitive data both in transit and at rest. This includes databases, file servers, and cloud storage.

* Access Control: Enforce the principle of least privilege, granting users only the access they need to perform their jobs. Implement multi-factor authentication (MFA) for all critical systems.

* Regular Software Updates & Patch Management: Keep all software – operating systems, applications, and firmware – up to date with the latest security patches. Automated patch management systems are highly recommended.

* Employee Training: Conduct regular cybersecurity awareness training for all employees. Focus on identifying phishing emails, recognizing social engineering tactics, and following secure password practices.

* Vulnerability Assessments & penetration Testing: Regularly assess your systems for vulnerabilities and conduct penetration testing to simulate real-world attacks.

* incident Response Plan: Develop and regularly test a complete incident response plan outlining the steps to take in the event of a cyberattack.

The Role of cyber Insurance: transferring Risk

While proactive measures are crucial, they cannot eliminate all risks. Cyber insurance plays a vital role in transferring the financial burden of a cyberattack. A comprehensive cyber liability insurance policy can cover a range of costs, including:

* Data Breach Response Costs: Forensic investigation, notification to affected individuals, credit monitoring services, and legal fees.

* Business Interruption: Lost income and extra expenses incurred due to a disruption of business operations.

* Ransomware Payments: Coverage for ransom payments (subject to policy terms and legal restrictions).

* Legal Defense & Settlements: Costs associated with defending against lawsuits and settling claims.

* Reputation Management: Expenses related to restoring your company’s reputation after a cyberattack.

* Regulatory Fines & Penalties: Coverage for fines and penalties imposed by regulatory bodies.

Navigating the Cyber Insurance Landscape

Choosing the right cyber insurance policy requires careful consideration. Here are key factors to evaluate:

* Coverage Limits: Ensure the policy limits are sufficient to cover potential losses.

* Deductibles: Understand the deductible amount and how it will impact your out-of-pocket expenses.

* Exclusions: carefully review the policy exclusions to understand what is not covered.Common exclusions include acts of war, intentional acts, and pre-existing vulnerabilities.

* Incident Response Services: many policies include access to incident response services, such as forensic investigators and legal counsel.

* Compliance requirements: Ensure the policy aligns with relevant data privacy regulations, such as GDPR, CCPA, and HIPAA.

* Security Requirements: Insurers are increasingly requiring businesses to implement specific cybersecurity controls as a condition of coverage.

real-World Example: The Colonial Pipeline Ransomware Attack (2021)

The 2021 ransomware attack on Colonial Pipeline serves as a stark reminder of the potential consequences of cybersecurity failures. The attack disrupted fuel supplies across the southeastern United States, highlighting the critical infrastructure vulnerabilities. While Colonial Pipeline had cyber insurance,the incident resulted in significant financial losses,reputational damage,and operational disruptions. This case underscored the importance of proactive cyber risk mitigation and a robust incident response plan. The company ultimately paid a $4.4 million ransom, demonstrating the financial impact of such attacks.

Benefits of a Proactive Approach to Cyber Security and Insurance

* Reduced Financial Risk: Minimizes potential losses from cyberattacks.

* Enhanced Reputation: Demonstrates a commitment to protecting customer data and maintaining business continuity.

* Improved Compliance: helps meet regulatory requirements.

* Increased Business Resilience: Enables faster recovery from cyber incidents.

* Lower Insurance Premiums: Implementing strong cybersecurity measures can frequently enough lead to lower insurance premiums.

Practical Tips for Ongoing Cyber Protection

* Regularly Back Up Data: Implement a robust data backup and recovery plan