The average cost of a data breach in 2021 was sitting at $4.24 million US dollars. In 2022 this increased by 2.6% to $4.35 million US dollars according to data breach statistics. The average cost of data breaches for critical infrastructure has increased to $4.82 million US dollars.
The cyber security sector has come under increasing pressures to implement, update and maintain their cybersecurity measures that are in place in an environment of every increasing risk in cyberspace.
In this post we will look at the 2023 costs of a data breach.
Cost Of A Data Breach In 2023
- In the US, a data breach costs up to 9.44 million USD on average.
- An Increase of 12.7% in the average cost of a data breach has been seen between 2020 until 2022 according to IBM. The cost went from 3.86 million USD to 4.35 millino USD.
- 4.54 million USD is the average ransomware cost and is slightly higher than the overall average total cost of a data breach which sits at 4.35 million USD.
- Those organizations that use risk quantification techniques versus those that do not saw a cost savings when it came to a breach of 2.10 million USD.
- According to IBM, the US had the highest rate of costly data breaches in 2021. The amount was recorded at 9.05 million USD.
- Phishing is the second most common reason behind data breaches sitting at 16%. The costliest breach averaged 4.91 million USD.
- In 2018 statistics showed the average cost per data breach was around 150 USD per compromised record.
- Risk quantification had a significant impact on data breach costs which on averaged saved 2.10 million USD.
- During the pandemic with remote working in place the average data breach costs were 1 million USD higher than prior to the pandemic.
- Incurring up to 1 million USD, it was found that 41% of companies said they had deployed a zero trust architecture, while 59% have not deployed such an architecture.
- Remote work breaches cost on average about 600,000 USD more compared to the global average.
- With remote work as potential cause of breaches, costs were on average
- The top 5 countries and regions that had the highest average cost in terms of data breaches were:
- US – 9.44 million USD
- Middle East – 7.46 million USD
- Canada – 5.64 million USD
- United Kingdom – 5.05 million USD
- Germany – 4.85 million USD
- Data breaches happening in a hybrid cloud environment on average cost 3.80 million USD versus 4.24 million USD in private clouds and 5.02 million USD in public clouds.
- A recent studie showed that the average cost of data breaches sits at 4.24 million USD.
- Pharmaceutical breach costs were around 5.01 million USD, technology at 4.97 million USD & energy at 4.72 million USD.
- The cost per record whhen it comes to a data breach has hit a 7 year high from 158 USD to 164 USD in 2022.
- The average cost in a healthcare data breach exceeded the general average of 9.23 million USD per incident.
- The average cost of a data breach in the healthcare industry amounted to 10.10 million USD.
- The cost of each record stolen during a breach of a healthcare organization was that of 408 USD per record which is the highest of any industry.
- The average ransom was of 9.3 million USD when it came to healthcare breaches in 2021
- Data breaches in the healthcare sector cost on average 408 USD per record which is 3 times higher than the 148 USD per record in terms of the cross industry average.
- The lifecycle of a data breach is fewer than 200 days. This was associated with an average cost of 3.74 million USD in 2022.
- The average cost for organizations that have high levels of compliance failures sits at 5.57 million USD
- Organizations that have an incident response team with a tested incident response plan had an average breach cost savings of 2.66 million USD compared to those that did not have an incident response team or a tested incident response plan.
- For organizations that had not paid their ransom, the average cost for the breach was 5.12 million USD.
- 1.51 million USD was the average cost savings for a breach associated with a well established deployment of zero trust compared to those that are still in the early stages of zero trust adoption.
- It takes 49 days longer than average to identify and contain a ransomware breach.
- For those businesses that did pay the ransom, the cost for a breach was 4.49 million USD. This is a difference in the average cost of 13.1% or 0.63 million USD.
- Companies that have the majority of their employees working remotely, 81-100%, the average data breach costs was 5.10 million USD.
- For companies that had the smallest share of their workers working remotely, less than 20%, the average breach sost was 3.99 million USD.
- For companies that are sufficiently staffed versus those that are understaffed had a breach cost savings of 550,000 USD (Click Here To Read More).
- A 2020 Sophos report, ransomware remediation efforts had an average cost of 732,500 USD when a business opts not to pay the ransom. When the ransom is paid, the average cost is that of 1,448,458 million USD.
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