USD 10.93 Billion
Cybersecurity Insurance Market Size, Share, and Growth Analysis
Cybersecurity Insurance Market By Offering(Solutions (Cybersecurity Insurance Analytics Platforms, Disaster Recovery and Business Continuity, Cybersecurity Solutions (Cyber Risk and Vulnerability Assessment, Cybersecurity Resilience))), By Insurance Coverage(Data Breach (Data Loss, Denial of Service and Downtime, Ransomware Attacks), Cyber Liability (Types of Cyber Liabilities (Data protection and privacy costs), By Compliance Requirement(Healthcare Compliance, Financial Services Compliance, GDPR Compliance, Data Privacy Compliance), By Insurance Type(Packaged, Standalone), By End User(Technology Providers (Insurance Companies (Data Breach Protection, Business Interruption Coverage, Ransomware Protection), Third-Party Administrators (TPAS)), By Region - Industry Forecast 2025-2032
Report ID:
SQMIG45E2248 |
Region:
Global |
Published Date: October, 2024
Pages:
197
|Tables:
92
|Figures:
69
Format -
Cybersecurity Insurance Market Insights
Cybersecurity Insurance Market size was valued at USD 10.93 Billion in 2023 and is poised to grow from USD 12.19 Billion in 2024 to USD 29.11 Billion by 2032, growing at a CAGR of 11.5% during the forecast period (2025-2032).
Strict adherence to regulations in multiple economies drives the market. Additionally, cybersecurity and data protection laws have been tightened internationally. For example, the European Union's adoption of the most stringent data protection law in the world, the General Data Protection Regulation (GDPR), applies to all organizations, regardless of location, that process the personal data of individuals in the European Economic Area (EEA). The GDPR dictates quite stringent rules about the collection, utilization, and custody of personal data. It also bestows lofty rights over personal data to individuals, including the rights to know, edit, and delete it. Hence, it could become a legal liability for organizations if they were forced to procure cybersecurity insurance to cover such possible liabilities and meet such requirements, thus promoting new innovations in the global cybersecurity insurance market trends.
Insurance companies are more than willing to take the challenge of inventing solutions to meet the new needs of businesses. In addition to their usual insurance coverages, many insurance companies include cyber risk management services as part of the offerings. Services that help companies ascertain their potential for cyber risk, develop and implement counter measures, or defend against possible attacks should now be sought. By contrast, parametric insurance for cyber risks gives out amounts of compensation to the insured when a stipulated cause occurs, say in case of data breach or denial-of-service casting. This contrasts with typical cybersecurity insurance, which disburses benefits according to the insurer's actual monetary losses. A strong growth prognosis for the cybersecurity insurance sector has been created by these advances, which have raised competitiveness and broadened offers.
Market snapshot - 2025-2032
Global Market Size
Largest Segment
Service
Fastest Growth
Solution
Growth Rate
11.5% CAGR
Global Cybersecurity Insurance Market ($ Bn)
Country Share by North America (%)
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Cybersecurity Insurance Market Segments Analysis
Global Cybersecurity Insurance Market is segmented by Offering, Insurance Coverage, Insurance Type, Compliance Requirement, End User, and region. Based on Offering, the market is segmented into Solutions, Services. Based on Insurance Coverage, the market is segmented into Data Breach, Cyber Liability. Based on Insurance Type, the market is segmented into Packaged, Standalone. Based on Compliance Requirement, the market is segmented into Healthcare Compliance, Financial Services Compliance, GDPR Compliance, Data Privacy Compliance, Other Compliances. Based on End User, the market is segmented into Technology Providers, Insurance Providers. Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & and Africa.
Analysis by Offering
As per categorization by offering, the market is classified as solution and service. Among these, services earned the largest share and continue to hold the dominant global cybersecurity insurance market share. The global cybersecurity insurance market's service offering segment is thriving due to rising demand for risk assessment, incident response, and ongoing threat monitoring. In the current scenario, businesses are hitting upon expert services to identify, assess, and make sense of complicated cyber risks. They are increasingly leaning towards these services as the regulations evolve. This segment, however, says that customers spend more on bespoke, proactive solutions focused on risk mitigation, resilience, and recovery post-breach, rather than solely on monetary indemnification. He stated that that threat would probably be so serious that it would require such sophisticated and sophisticated solutions in terms of services.
Solution offerings are poised to be the fastest-growing segment in the global cybersecurity insurance market due to the escalating complexity and frequency of cyber threats. Many organizations have begun to realize that comprehensive risk management needs to go beyond insurance coverage to include proactive controls such as incident response, threat intelligence, and continuous monitoring. The increasingly regulation-driven need for compliance protections further drives adoption. Finally, with increasing digital transformation and the tendency to work from home, vulnerabilities are more pronounced, thus necessitating tailor-made insurance solutions to cover a multitude of cyber risks. Such nuanced, bespoke solutions for adaptive coverage augur well for the rapid expansion in market provision for solutions.
Analysis by Insurance Coverage
Cyber liability insurance is a cornerstone of the global cybersecurity insurance market, driven by the increasing frequency and severity of data breaches and cyberattacks. It takes care of almost all liabilities arising from breach of data, penalties from regulators, and even the limited legal fees, so it is very important and valuable for businesses in this contemporary digital era. Innovations like tailored policies, dynamic risk assessments, and AI-driven underwriting have enhanced its effectiveness. Cyber liability dominates as it addresses core business concerns—financial, operational, and reputational risks. As data privacy regulations tighten and cyber threats evolve, organizations increasingly rely on cyber liability insurance to ensure resilience and compliance in a high-risk environment.
Data breaches are fueling rapid growth in the global cybersecurity insurance market as organizations grapple with escalating threats to sensitive information. The increasing digitization along with dependence upon cloud technologies exposes companies to very large scales of financial, legal, and reputational damages in case of a breach. Increasing regulatory mandates, like the GDPR or the CCPA, enhance the requirement of coverage against the fines for non-compliance. Cybersecurity insurance specific to data breaches covers notification costs, legal defense, and recovery efforts. Insurers invent real-time risk monitoring and specialized breach-related policies which meet urgent business needs. Data volumes are increasing, and addressing breach risks constitutes the fastest growing segment within the market.
Global Cybersecurity Insurance Market By Offering (%)
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Cybersecurity Insurance Market Regional Insights
North America dominates the global cybersecurity insurance market due to its advanced digital infrastructure and high adoption of technology across industries. The region suffers from an extraordinarily high incidence of cyber-attacks, compelling businesses to devote their resources to reducing risk via the use of insurance. Regulatory frameworks like GDPR and state-specific laws mandate strict data protection, increasing demand for tailored policies. Moreover, the presence of leading insurance providers and cybersecurity firms fosters innovation, including AI-driven risk assessments and dynamic policy offerings. High awareness among enterprises and robust investment in cyber defense further cement North America's leadership, making it the largest and most mature market for cybersecurity insurance globally.
Europe is the fastest-growing region in the global cybersecurity insurance market, driven by stringent data protection regulations like GDPR, which compel businesses to strengthen cyber defenses and ensure compliance. The region's rapid digital transformation, particularly in sectors like finance, healthcare, and e-commerce, has expanded the cyberattack surface, increasing demand for insurance solutions. A surge in ransomware incidents and growing awareness of cyber risks are prompting organizations to seek tailored coverage. Additionally, the rise of insurtech innovations and collaborations between insurers and cybersecurity providers enhances policy offerings, making cybersecurity insurance more accessible. These factors collectively fuel Europe's position in the global cybersecurity insurance market growth.
Global Cybersecurity Insurance Market By Geography
- Largest
- Fastest
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Cybersecurity Insurance Market Dynamics
Drivers
Growing Digital Transformation Across Industries
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Digitalization brought into new territories, such as finance, healthcare and retail, has led to increased cyber exposure for businesses within these sectors. The more an organization uses interconnected devices and cloud solutions, the more its need will be for comprehensive cybersecurity insurance to meet and enhance the market's growth in terms of protection against potential cyber threats.
Increasing Costs of Data Breaches
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The financial ramifications of data breaches-and thus, their associated recovery costs, legal expenses, and losses in reputation-are increasing by considerable margins. Businesses are procuring cybersecurity insurance to help cover these costs and avail the operations of protection. Indeed, this market growth is driven by awareness of the increasing levels of stakes involved in cyber incidents.
Restraints
Lack of Standardization and Clarity
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The absence of standardized policies and clear definitions for cyber risks hinders the global cybersecurity insurance market. At present, insurers and businesses are in a fix about the ambivalence surrounding the scopes of coverage, exclusions, and hazard assessment. This relative ambiguity has deterred some organizations from taking up insurance, causing a slow growth of the market, notwithstanding all the increasing cyber threats.
Evolving and Unpredictable Cyber Threats
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Constantly changing cyber threats make it hard for the insurers to evaluate risks properly and price a policy. New threats like zero-day exploits or advanced ransomware attacks add to this uncertainty, making it even more difficult to write adequate coverage without taking on excessive financial risks, and hence constraining the growth of the market.
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Cybersecurity Insurance Market Competitive Landscape
The global cyber security insurance market is now highly competitive, because of the growing demand for companies to develop specialised insurance products that meet increasing cyber risk. Companies actively compete for better offerings by providing increasingly sophisticated risk assessment tools and technology. The market features leading global players, such as Allianz, AIG, Munich Re, Chubb, and Zurich Insurance. Meanwhile, these organizations are leveraging partnerships with cyber firms and using insurtech innovations to enhance insurance coverage against any financial loss that might occur due to the cyber threat to maintain their competitive edge in this ever-expanding market.
Top Players in Cybersecurity Insurance Market
- Prevalent (US)
- RedSeal (US)
- Security Scorecard (US)
- Cyber Indemnity Solutions (UK)
- Microsoft (US)
- Check Point (Israel)
- AttackIQ (US)
- SentinelOne (US)
- CyberArk (Israel)
- CYE (Israel)
- SecurIT360 (US)
- Founder Shield (US)
- Chubb (Switzerland)
- AIG (US)
- Travelers (US)
- Beazley (UK)
- Allianz (Germany)
- Aon (UK)
- Arthur J. Gallagher (US)
- Axis Capital (Bermuda)
- CNA (US)
- Fairfax (Canada)
- Liberty Mutual Holding (US)
- Lloyd’s of London (UK)
- Lockton (US)
- Munich Re (Germany)
- Sompo International (Bermuda)
- At-Bay (US)
- Coalition (US)
- Resilience (US)
- Kovrr (Israel)
- Sayata Labs (Israel)
- Zeguro (US)
- SafeBreach (US)
- Cronus Cyber Technologies (Israel)
Recent Developments
- In April 2024, AIG introduced a new policy on cybersecurity insurance for small and medium-sized enterprises (SMEs). The insurance plans are very affordable with a built-in package for proactive cyber security services, such as risk assessment and incident response planning. This project is aimed at even making cyber insurance available to the widest range of businesses.
- In March 2024, Chubb launched an enhanced cybersecurity insurance product that integrates advanced artificial intelligence tools for real-time risk assessment and claims management. The product allows businesses to manage their cyber risk more effectively by providing timely data on potential vulnerabilities, thus enhancing risk mitigation strategies for policyholders.
- In February 2024, Munich Re diversified its range of cybersecurity insurance offerings through collaborations with preeminent cybersecurity companies to insure specific policies against ransomware attacks. This collaboration will serve businesses better and offer them tailored protection so that they may decrease the greater threat of ransomware in the digital dimension.
Cybersecurity Insurance Key Market Trends
- Rise in Cyber Insurance for SMEs: The introduction of cyber threats has pushed SMEs toward increasingly more adoption of cybersecurity insurance. According to these studies, growing awareness regarding cyber risks, soaring attack frequencies, and cheap customized policies allow SMEs to protect assets and meet standards driving this trend.
- Integration of AI in Cyber Insurance: Risk assessments and claim processing generated through an AI-driven process. By use of AI technologies, insurers now are introducing supplemental benefit to the underwriting process accuracy in threat analysis in real-time and faster claims settlement. By this, it is improving efficiency for policies, less response time, and more accurate coverage for businesses.
Cybersecurity Insurance Market SkyQuest Analysis
SkyQuest's ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Correlates, and Analyses the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
As per SkyQuest analysis, in conclusion, the global cybersecurity insurance industry is driven by increasing adoption of digital technologies, as well as stringent and complex regulatory frameworks, and growing awareness of cyber risks. The increase in cyber-attacks, as well as data breaches, has led businesses to search for much broader coverage to alleviate these attacks' impacts on finances and reputation.
Insurance offerings are now being propelled further by innovations like AI-powered risk assessments and tailoring specific policies per customer demand, as well as cyber risk management services. Cybersecurity will, henceforth, remain among the essentials of modern-day risk management-in all fields all over the world-as it continuously grows in demand along with the level of evolving cyber threats.
| Report Metric | Details |
|---|---|
| Market size value in 2023 | USD 10.93 Billion |
| Market size value in 2032 | USD 29.11 Billion |
| Growth Rate | 11.5% |
| Base year | 2024 |
| Forecast period | 2025-2032 |
| Forecast Unit (Value) | USD Billion |
| Segments covered |
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| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
|
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Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on Cybersecurity Insurance Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on Cybersecurity Insurance Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the Cybersecurity Insurance Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Cybersecurity Insurance Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Cybersecurity Insurance Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Cybersecurity Insurance Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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