Sayata Labs, a cyber risk assessment solution provider, has secured $6.5 million in seed funding. The company will use the funding to extend its reach in the global cyber insurance market, according to a prepared statement.
Sayata uses artificial intelligence (AI) and data science to help insurers assess cyber risk and offer data-driven security recommendations to their customers. It currently works with global insurance company Axa and provides insurers and brokers with visibility into their customers' security posture.
Sayata's cyber risk assessment solution provides insurance companies with cybersecurity benchmarks so they can grow their business portfolios, minimize risk and drive revenue growth, the company said. It also is tailored to small and medium-sized businesses (SMBs).
Insurers can use Sayata's cyber risk assessment solution to evaluate industry data and analyze customers' security posture relative to their peers, Sayata indicated. They then can obtain predictive insights to find ways to optimize their customers' cybersecurity preparedness.
The seed funding could help Sayata accelerate its growth. Furthermore, the funding highlights the rising demand for cyber risk assessment solutions.
For example, TechAssure, an international association comprised of insurance and risk management professionals, last month partnered with cyber insurance analytics platform provider Corax. TechAssure members now can leverage Corax's platform to provide their customers with a cyber "hygiene score."
How Many Organizations Have Cyber Insurance?
Thirty-eight percent of organizations have cyber insurance, according to a survey of 581 IT professionals conducted by IT systems and network monitoring software company Spiceworks. Among these organizations, 71 percent have a cyber insurance coverage limit between $1 million and $10 million.
As the demand for cyber insurance increases, expect cyber insurance premiums to rise as well.
Cyber premiums have grown at 23 percent annually over the past five years, professional services firm Aon stated. Meanwhile, cyber premiums could total $4 billion globally by 2021.
