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Kroll Report Finds AI Adoption Outpaces Governance As Security Incidents Rise

A global survey of cybersecurity leaders finds widespread AI-related security incidents and limited governance controls across organizations.

 

Key Takeaways

  • 76% of organizations experienced a security incident involving AI applications or models
  • 48% have little to no governance over AI tool and service adoption
  • 27% report AI-related incidents causing more than $1 million in damages
  • Companies allocate an average of 13% of AI budgets to testing security controls or models

Kroll just released its report, Bridging the Cyber Resiliency Gap: Why Aligning Cybersecurity Priorities, a survey of over 1,000 cybersecurity decision-makers. The report found that the majority of organizations are experiencing AI-related security incidents while lacking formal governance structures to manage the associated risks.

 

AI Adoption Without Guardrails Points To A High Rate Of Incidents

The survey reports that 76% of organizations experienced a security incident involving AI applications or models in the past year. 

40% of employees use AI tools in their work, including both approved systems and “shadow AI” tools that operate without oversight. Despite this level of use, 48% of respondents have little to no organizational governance over AI tool and service adoption. Half of these have no guidelines at all or do but don’t enforce them.

 

AI Security Breaches – A Financial Concern, Yet Companies Aren’t Investing In Protections

55% of respondents identify financial risks as their primary concern regarding AI threats, while 41% worry about operational disruptions from AI-driven cyberattacks.

27% of respondents reported incidents resulting in more than $1 million in damages.

Yet, few are investing in securing AI systems. Companies allocate 13% of their AI initiative budgets to testing security controls or evaluating the models themselves.

 

Strong Cyber Protocols = Less AI-Related Incidents

Organizations with higher cybersecurity maturity experience fewer AI-related incidents. Specifically, 89% of organizations with very low cyber maturity reported AI-related security incidents,, compared to 54% of those with very high maturity, while 46% of highly mature organizations reported no AI-related incidents over the past two years.

The findings are based on survey data collected from companies with annual revenues ranging from $50 million to more than $5 billion, across multiple sectors and geographies.

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