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All issuesVolume 336, Issue 1IT NewsBackup

Backup Strategies Are Working, And Ransomware Gangs Are Responding With Data Theft

Help Net Security, Friday, March 6th, 2026

Business email compromise (BEC) and funds transfer fraud combined for 58% of all cyber insurance claims filed in 2025, according to data from Coalition covering more than 100,000 policyholders across the United States, Canada, the United Kingdom, Australia, and Germany.

BEC was the single most common claim type at 31%, with frequency rising 15% year over year to 0.47%. Average losses per BEC incident dropped 28% to $27,000, a decline attributed to faster detection and response by affected organizations.

FTF followed at 27% of claims. Frequency fell 18% to 0.42%, and average severity dropped 14% to $141,000. Of those FTF events, 71% involved social engineering, where attackers impersonated executives, vendors, or financial institutions to authorize fraudulent transfers. The average loss for social engineering FTF was $127,000. A separate category, fraudulent instructions sent directly to banks, made up 20% of FTF events and carried a higher average loss of $218,000.

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