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Coalition Releases 2022 Cyber Claims Report, Detailing Surge in Ransomware

Active Insurance offers a new model of protection from digital risk amid continued rise of cyber crime

SAN FRANCISCO — March 1, 2022 — Coalition, the world’s first Active Insurance provider, today announced the results of its 2022 Cyber Claims Report. Coalition analyzed claims data through 2021 from our Active Cyber insurance customers in the United States and Canada. Coalition’s analysis reveals that ransom demands have grown substantially over the past year, smaller companies are increasingly targeted, and cyber criminals continue to take advantage of dislocations in how we work. 

In the latter half of 2021, the average ransom demand made to Coalition policyholders increased over 20% to $1.8 million. This increase was spurred by the emergence of several aggressive new ransomware variants, including LockBit 2.0, REvil, and Conti. While the average ransom demand steadily increased, the average payout Coalition made for ransomware claims decreased 16%, reflecting Coalition’s active response capabilities and its efforts to help policyholders negotiate ransoms and recover data backups. 

While ransomware has become more widespread and severe in the past year, a new wave of supply chain and digital infrastructure attacks have surged, such as the attacks against Microsoft Exchange and Log4j. Coalition’s research reveals that small organizations that use Microsoft Exchange see a 103% increase in claims as a result of the continued exposure. 

These attacks are also more likely to target small and micro businesses. As attacks become increasingly automated, it has become easier and more profitable for criminals to target smaller organizations. In 2021, overall claims severity rose 56% for organizations under $25M in revenue. This segment also experienced a 40% increase in ransomware attacks and 54% increase in funds transfer fraud attacks. 

“The events of the past year have made clear the need for a new approach for organizations to address digital risk,” said Joshua Motta, CEO and co-founder of Coalition. “Our active protection and response capabilities enable us to stop digital risk before it strikes, and we were able to fully contain 46% of reported incidents in 2021. Together with the broader cyber insurance industry, we are well-positioned to fight cybercrime and help organizations to embrace ongoing technological progress.”

Coalition today also announced Active Insurance, a new model for protection that goes far beyond traditional insurance by providing technology and expert support before, during, and after an incident occurs. Every Coalition policy includes access to Active Insurance capabilities, including Active Risk Assessment, Active Protection, and Active Response. 

Coalition’s 2022 Cyber Claims Report is available for download here. To learn more about Coalition, visit

About Coalition

Founded in 2017, Coalition is the world’s first Active Insurance company designed to prevent digital risk before it strikes. Coalition is on a mission to provide security for all and create a safe digital economy where everyone can thrive by providing cyber, executive risks, and P&C insurance policies paired with active risk assessment and monitoring technology to help small and medium-sized organizations protect themselves in a digital world. Backed by leading global insurers Swiss Re Corporate Solutions, Arch Insurance, Lloyd’s of London, and Zurich North America, Coalition provides companies in the U.S. and Canada with up to USD $15 million of cyber and technology insurance coverage and up to $5 million of executive risks coverage. As of September 2021, Coalition has raised $520 million from Index Ventures, Ribbit Capital, Valor Ventures, Durable Capital, T. Rowe Price Associates, and Whale Rock Capital.