Presentation of the 2023 Cyber Risk Management Study

What it is about

Marsh Advisory presented at the Second Breakfast Conference (November 2023) the results for the Dominican Republic of the 2023 Cyber Risk Management Study in the Latin American Financial Sector. The presentation lists as contacts César Rodríguez, consulting leader of Marsh Advisory for the Dominican Republic, and Ángela Paola Cubillos, cyber risk consulting leader for Colombia.

The 33-slide presentation combines the global risk environment with the survey results: how institutions assess cyber risk, their main challenges, how scenarios are defined, the real cost of incidents and why cyber risk should be quantified. It ends with recommendations and conclusions.

Objectives

• Place cyber risk within the global risk environment and the digitalization of the region's financial sector.
• Show how the financial institutions that answered the study assess and manage this risk.
• Propose recommendations for moving from a qualitative to a quantitative management of cyber risk.

Key takeaways

1. Ransomware cases rose 435% in 2020 and more than 70% in 2021 and 2022; 95% of cybersecurity events stem from human error and the global shortage of professionals in the field is 3 million.
2. 86% of the region's banks accelerated digitalization initiatives, which widens the exposure surface.
3. Many organizations still do not measure cyber risk in financial terms, which limits their ability to communicate it and to prioritize investments.
4. Challenges identified include investing in training and internal development, lack of knowledge to quantify, and lack of quantification tools.
5. The central recommendation is to define the strategy assuming an attack is imminent, demonstrate the return on security investment and consider transferring the risk through cyber insurance.