Dublin, Sept. 01, 2023 (GLOBE NEWSWIRE) -- The "Global Cybersecurity Insurance Market by Component (Solutions and Services), Type (Standalone & Packaged), Coverage (Data Breach & Cyber Liability), Compliance Requirement, End User (Technology & Insurance) and Region - Forecast to 2028" report has been added to ResearchAndMarkets.com's offering.
The Cybersecurity insurance market is estimated at USD 14.4 billion in 2023 and is projected to reach USD 33.4 billion by 2028, at a CAGR of 18.3% from 2023 to 2028.
Cybersecurity insurance has become increasingly important for organizations due to stricter data protection and privacy regulations like GDPR in Europe and CCPA in California. These regulations place a higher responsibility on businesses to safeguard sensitive data. Cybersecurity insurance helps organizations comply with these regulations and provides financial protection in the event of non-compliance.
By end users, the insurance providers segment holds the largest market size during the forecast period.
The increasing complexity of cyber risks due to the widespread use of connected devices emphasizes the significance of cybersecurity insurance solutions and services. This growing demand for insurance coverage has motivated providers to offer tailored cyber policies that address the unique needs of organizations.
The majority of these insurance providers are based in the United States and include reputable companies such as Berkshire Hathaway, Fairfax Financial, Sompo International, Hartford, Tokio Marine, Zurich, Liberty Mutual, BCS Insurance, AXIS, CNA, Beazley, Travelers Insurance, AIG, AXA XL, and Chubb.
These providers offer a diverse range of customizable cyber coverage options, ensuring organizations can find policies that align with their specific requirements. In addition, they provide round-the-clock claims filing services and valuable resources to aid in the recovery process following large-scale cyberattacks.
Based on services, the security awareness training segment is expected to register the fastest growth rate during the forecast period.
Security awareness training plays a crucial role in the emerging cybersecurity insurance market, as it helps to educate end users about the importance of this type of coverage. In August 2019, Cofense, a provider of intelligent phishing defense solutions, partnered with CNA, a property and casualty insurance company. As part of this collaboration, CNA policyholders gained access to Cofense solutions, including security awareness training.
This training was integrated into CNA's suite of cyber liability insurance products to enhance policyholders' understanding of cybersecurity risks. Another example is Zeguro, which offers a Security Training module that delivers monthly training modules, automated security training, and evaluates the cybersecurity knowledge of enterprises. This training assists employees in achieving compliance goals for regulations such as PCI-DSS, HIPAA, and GDPR.
Asia Pacific to register the highest growth rate during the forecast period.
The Asia Pacific region, including countries like China, Japan, ANZ, and Singapore, is witnessing significant growth opportunities for the cybersecurity insurance market due to increasing security concerns and technological advancements. Asia Pacific faces higher cyber risks, with insecure interfaces, data breaches, and data losses being prominent threats. The region's rapid connectivity growth and digital transformation make it vulnerable to cyber exploitation.
The Chubb Asia Pacific SME Cyber Preparedness Report 2019 highlights SMEs' under-preparedness in managing cyber risks, while increasing regulatory developments drive the demand for cybersecurity insurance. Zurich Insurance predicts substantial market growth in Asia Pacific, with major players like AIG, Allianz, Chubb, and Zurich operating in the region.
Competitive Landscape
The major players in the Cybersecurity insurance market are BitSight (US), Prevalent (US), RedSeal (US), SecurityScorecard (US), Cyber Indemnity Solutions (Australia), Cisco (US), UpGuard (US), Microsoft (US), Check Point (US), AttackIQ (US), SentinelOne (US), Broadcom (US), Accenture (Ireland), Cylance (US), FireEye (US), CyberArk (US), CYE (Israel), SecurIT360 (US), and Founder Shield (US).
The insurance vendors covered in the cybersecurity insurance market are Allianz (Germany), AIG (US), Aon (UK), Arthur J. Gallagher & Co (US), Travelers Insurance (US), AXA XL (US), AXIS Capital (Bermuda), Beazley (UK), Chubb (Switzerland), CNA Financial (US), Fairfax Financial (Canada), Liberty Mutual (US), Lloyd's of London (UK), Lockton (US), Munich Re Group (Germany), and Sompo International (Bermuda). The startup vendors covered in the cybersecurity insurance market are At-Bay (US), Cybernance (US), CyberCube (US), Coalition (US), Arceo.ai (US), Kovrr (Israel), Sayata Labs (Israel), Zeguro (US), RiskSense (US), SafeBreach (US), and Cronus Cyber Technologies (Israel).
These players have adopted various growth strategies, such as partnerships, agreements and collaborations, new product launches, and product enhancements, and acquisitions to expand their footprint in the Cybersecurity insurance market.
Premium Insights
- Increasing Cyber and Ransomware Attacks to Drive Market Growth
- Cybersecurity Insurance Analytics Platforms and Cyber Liability Segment in North America to Account for Largest Shares in 2023
- Cybersecurity Insurance Analytics Platforms and Cyber Liability Segment in Europe to Account for Largest Shares in 2023
- Cybersecurity Insurance Analytics Platforms and Cyber Liability Segment in APAC to Account for Largest Shares in 2023
- Asia-Pacific to be Best Market for Investments During Forecast Period
Market Dynamics
Drivers
- Surge in Mandatory Cybersecurity Regulations and Legislations to Boost Demand for Insurance Protection
- High Rate of Recovery of Financial Losses to Promote Market Growth
- Increase in Frequency and Sophistication of Cyber Threats
Restraints
- Lack of Awareness Related to Cybersecurity Insurance and Reluctance in Choosing Cybersecurity Insurance Over Cybersecurity Solutions
- Soaring Cybersecurity Insurance Costs
Opportunities
- Exclusion of Cybersecurity Insurance Cover from Property and Casualty (P&C) Insurance
- Adoption of Artificial Intelligence and Blockchain Technology for Risk Analytics
Challenges
- Cyber Insurers Grapple to Gain Traction Despite Soaring Cybersecurity Risks
- Data Privacy Concerns
- Lack of Understanding, Technical Knowledge, and Absence of Historical Cyber Data for Effective Underwriting
Case Study Analysis
- Security scorecard Helped Cyber Insurance Provider Better Understand Customer Risk
- European Financial Service Providers Leveraged Bitsight for Security Performance Management
- Country Mutual Insurance Company Leveraged Cyberark's Privileged Security Access Platform
- Global 500 Insurance Company Chose Prevalent's Third-Party Risk Management Solution
- Aon Secured Financial Institution's Funds and Data from Third-Party Cyber Risks
- Chubb's Cybersecurity Insurance Cover Assisted SMEs in Recovering Financial Losses
Company Profiles
Technology Providers
- Bitsight
- Prevalent
- Redseal
- Securityscorecard
- Cyber Indemnity Solutions
- Cisco
- Upguard
- Microsoft
- Check Point
- Attackiq
- Sentinelone
- Broadcom
- Accenture
- Cylance
- Trellix
- Cyberark
- Cye
- Securit3
- Founder Shield
Insurance Providers
- Chubb
- Axa Xl
- Aig
- Travelers
- Beazley
- Allianz
- Aon
- Arthur J. Gallagher
- Axis Capital
- Cna
- Fairfax
- Liberty Mutual Holding
- Lloyd's of London
- Lockton
- Munich Re
- Sompo International
Startups/SMEs
- At-Bay
- Cybernance
- Coalition
- Resilience
- Kovrr
- Sayata Labs
- Zeguro
- Ivanti
- Safebreach
- Cronus Cyber Technologies
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 365 |
| Forecast Period | 2023 - 2028 |
| Estimated Market Value (USD) in 2023 | $14.4 Billion |
| Forecasted Market Value (USD) by 2028 | $33.4 Billion |
| Compound Annual Growth Rate | 18.3% |
| Regions Covered | Global |
For more information about this report visit https://www.researchandmarkets.com/r/3y87pr
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