Technology
Global Cyber Insurance Market To Top $28 Billion By 2026 - Study

The report underlines the sheer scale of cybersecurity threats and the steps firms, individuals and governments are taking to cope with the impact. This remains a major concern for the global wealth management industry - particularly with more people working from home.
The global market for insuring against hackers and cleaning up
the damage they cause is expected to reach $28.6 billion by 2026,
rising from $4.85 billion in 2018, a report has said.
Large enterprises accounted for more than two-thirds of the
global cyber insurance market revenue in 2018, and it is
projected to retain its dominance throughout the forecast period,
according to Allied Market
Research in its report Cyber Insurance Market by Company
Size, and Industry Vertical: Global Opportunity Analysis and
Industry Forecast, 2019-2026.
Cybersecurity insurance has been growing as a sector for some
time. Prominent players in this area include American
International Group; Munich Re; Zurich; Lockton Companies;
Aon; AXA; Berkshire Hathway; Allianz; Lloyd's of London, and The
Chubb Corporation.
The scale of insurance projected by the report translates into a
compound annual growth rate of 24.9 per cent between 2019 and
2026. Financial industry organisations such as JP Morgan,
the Internal Revenue Service and Equifax, to give just three,
have been hit in recent years. The risk of data loss has
also prompted groups such as the European Union to push out data
protection laws; legislators and regulators in the US are
considering measures at the state and federal level. (California
passed a law in 2018 to protect data privacy of consumers.)
Cybersecurity is now a major wealth management concern, as
articles such as this
and this and
this
illustrate.
Based on region, North America held the major share in 2018,
reaping more than two-fifths of the global cyber insurance
market. Increases in data breach, cyber extortion and disruptive
events across business sectors in this province have driven the
market. The report predicts that the Asia-Pacific region will
chalk up a CAGR of 26.9 per cent up to 2026.
“Rapid technological developments such as automated production
and technical processes, and growing adoption of internet of
things, along with stringent regulatory landscape for data
protection have been driving the Asia-Pacific cyber insurance
market,” it said.