Recent Kidnap and Extortion Cases Put the Spotlight On a Key Corporate Exposure

Recent kidnap and extortion cases have shown that criminals can strike in anywhere, even in regions normally considered low risk. These incidents highlight the often-overlooked exposure of corporate kidnap and extortion and should serve as a wakeup call for all businesses.

Two Kidnap and Extortion Attacks

In recent months, two separate kidnap and extortion attacks have made headlines. Although they differ in many details, two similarities stand out: both targeted executives involved in the cryptocurrency industry and both occurred in locations not typically associated with a high risk of kidnappings.

The first incident happened in Canada in November 2024. It targeted Dean Skurka, the president and CEO of a cryptocurrency holding company. According to CBC, Skurka was kidnapped in downtown Toronto during rush hour. After forcing him out of his car, the kidnappers demanded a ransom. Once they had received the $1 million ransom electronically, they released Skurka. The company says client funds and data were not compromised.

The second incident happened in France in January 2025. It targeted David Balland, an executive who helped create Ledger – a cryptocurrency security company. According to Money Check, kidnappers forced their way into Balland’s home in central France, kidnapping both Balland and his wife. French newspapers reported that the kidnappers held the couple for nearly 24 hours and committed acts of extreme violence while demanding a cryptocurrency payment. They were freed when France’s National Gendarmerie stormed the location.

No Place Is Immune to Kidnapping

The Q4 2024 Kidnap Ransom and Extortion Risk Map from SPS shows that kidnapping and extortion incidents are extremely rare, isolated, and not part of any specific organized activity in some countries. In the United States, Canada, and much of western Europe, the risk is low to moderate, meaning incidents are infrequent and mostly opportunistic. However, the recent kidnappings in Canada and France show that even these areas carry some risk. In many other parts of the world, the risk is medium, high, or even extreme.

Some Americans may be surprised to learn that Mexico is high risk. The SPS December 2024 Global Insights Report shows that 85 criminal kidnappings occurred per month in Mexico in 2024.

Mitigating the Kidnap and Ransom Risk

According to Wired, recent incidents have “spooked” the cryptocurrency industry, prompting many wealthy figures to hire bodyguard services.

These incidents should be a cause of concern for all corporations and executives, not just those in the cryptocurrency industry. It’s true that the two recent incidents both targeted cryptocurrency leaders; however, kidnappers will target anyone they think will result in a ransom payment, regardless of the industry.

In addition to hiring private security, business leaders should review their kidnap and ransom insurance needs. If a kidnapping occurs, this coverage will help in many ways that go beyond the financial losses.

How Kidnap and Ransom Insurance Works

Kidnap and ransom insurance provides coverage for executives and high-net-worth individuals whom criminals could target. If a kidnap and ransom event occurs, the policy will provide reimbursement for the ransom per the policy terms. However, this reimbursement is only one aspect of what kidnap and ransom insurance provides.

Just as many cyber insurance policies include risk management support to prevent and mitigate losses, kidnap and ransom insurance provides support before, during, and after incidents.

Coverage may include pre-trip risk assessments, executive protection, and secure journey management to minimize the chance of a kidnap and ransom incident. In the event of a kidnap and ransom, the policy will manage negotiations and work with local law enforcement to increase the odds of a positive outcome and safe return. Other benefits may include business interruption, legal liability, and psychiatric expenses.

As with any type of policy, it’s important to read the policy to understand the limits and exclusions. For example, most policies exclude coverage for people traveling in countries that have been sanctioned by the U.S.

Do You Need Kidnap and Ransom Coverage?

In the past, corporations and high-net-worth individuals may have only worried about kidnap and ransom insurance if they were traveling to countries known for these attacks. Unfortunately, recent events show that no one can assume they are safe, even when staying in low-risk countries.

Tangram offers kidnap and ransom insurance designed for a wide variety of industries. Learn more.