The changing face of cybercrime

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The changing face of cybercrime

The Changing Face
of Cyber Crime

Cyber crime represents one of the greatest transfers of economic wealth in history

Our Risk & Resilience survey reveals that business leaders appear to be out of step when it comes to cyber risk, with the percentage ranking cyber as their top risk dropping year on year.

Today, the concern over the threat of cyber risk is at its lowest since 2021iv, declining from 34% at the height of the ransomware pandemic to 26% now.vii This dropping concern about cyber risk is despite multiple studies showing that the severity and cost of attacks are rising.

The cyber risk blind spot

Some of the findings from this year’s Risk & Resilience research show cyber risk continues to be a blind spot for global executives – where they appear to be failing to see or understand the changing face of cyber crime.

The perceived threat of cyber to global business leaders continues to drop – with just only a quarter (26%) ranking cyber as their top threat – down from 34% in 2021.iv

However, at the same time perceived resilience to cyber risk is dropping – with 75% of executives feeling resilient to cyber risk, down from 80% in 2022.v

And 11% of global boardrooms admitted in the survey that they believe their organisation has inadequate protection for cyber risk.

23% of c-suite leaders said they are unpreparediii for cyber risks this year – this rises to 29% among large UK firms (£1bn+ revenue).
Many cyber crime techniques established over the past forty years continue to be used today and have been updated to meet current business paradigms. This means that, while the technical sophistication of many attackers has increased, one of the best defences an organisation can deploy is having sound process related to patching, governed access to systems, and monitoring of systems, user behaviours, and data.

Where things get more complicated is the change in motivation. Threat actors that were previously driven by activism have fallen away almost completely, and been replaced by those motivated entirely by profit. And, as a business focused on efficiency, these actors have continued to innovate.
Advanced techniques and tools that were formerly only available only to nation states are now commercially available to well-funded and organized criminal organisations. This raises the stakes for firms as they face a steady supply of experts ready to infiltrate IT systems, exfiltrate data at speed, exploit their targets and sell data on the dark web to maximise profit.

“The core activity is the same. Cyber criminals exploit businesses for financial gain. However, the techniques and methodologies of the attacks are becoming more sophisticated. We have seen that cyber crime networks are becoming more industrialised.”

Patricia Kocsondy
Head of Global Cyber Digital Risks

Over the past four decades, the threat of cyber crime has steadily increased. Cyber criminals have been swift to adopt new technologies, continually devising and honing techniques to trick individuals into revealing sensitive information or inadvertently granting access to networks via phishing attacks, by finding vulnerabilities in software or system security, or via third party suppliers.

Today, cyber crime is an industry, with sophisticated, ruthless and highly efficient operatives working in it – some state sponsored.

With or without state backing, many cyber criminals continue to operate with near impunity and safe from extradition. So why do business leaders view the threat as diminishing? Is this blind faith or justified confidence?

Expert View - Swipe to learn more

“Today we see threat actors focused purely on financial gain.”

Jimaan Sane - London and Wholesale Growth Leader, Cyber Risks

"We as defenders need to adapt our mental model."

Francisco Donoso - Chief Technology Officer, Beazley Security

"Companies need to be on the alert and be aware of the latest cyber threat trends."

Christian Taube - VP Cyber Services International, Beazley Security

[iii] Not very well prepared’ and ‘Not at all prepared’ answers combined.
[iv] This figure is based on research undertaken in January and February in 2021 with 1,000 executives of firms based in the UK and US of varying sizes, operating in 10 broad industry sectors with international operations.
[v] This figure is based on research undertaken in January 2022 with 2,000 executives of firms based in the UK, US, Canada and Singapore of varying sizes, operating in 10 broad industry sectors with international operations.
[vii] This year’s survey was undertaken between 05.01.2024 and 15.01.2024 with 3,500 executives based in the UK, US, Canada, Singapore, France, Germany and Spain of varying sizes, operating in 9 broad industry sectors with international operations.

The information set forth in this document is intended as general risk management information. It is made available with the understanding that Beazley does not render legal services or advice. It should not be construed or relied upon as legal advice and is not intended as a substitute for consultation with counsel. Although reasonable care has been taken in preparing the information set forth in this document, Beazley accepts no responsibility for any errors it may contain or for any losses allegedly attributable to this information. BZ CBR 119.

Cyber crime represents one of the greatest transfers of economic wealth in history

The cyber risk blind spot

“The core activity is the same. Cyber criminals exploit businesses for financial gain. However, the techniques and methodologies of the attacks are becoming more sophisticated. We have seen that cyber crime networks are becoming more industrialised.”

Expert View - Swipe to learn more

“Today we see threat actors focused purely on financial gain.”

"We as defenders need to adapt our mental model."

"Companies need to be on the alert and be aware of the latest cyber threat trends."

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