Cyber insurance is a specialty insurance product that covers business liabilities for internet-based risks involving sensitive customer information and helps organizations reduce the chances of business disruption during attacks & their aftermath. As cybercrimes are becoming a significant concern of businesses irrespective of their sizes & locations, many organizations worldwide are deploying adequate cyber insurance policies to protect themselves against such incidents. With the growing number of cyber threats that are volatile in nature and require a high amount of focus & time, the cyber insurance industry is witnessing profitable prospects across different countries worldwide, especially in the UAE.
The UAE Cyber Insurance Market is anticipated to grow at a CAGR of around 25.6% during the forecast period, i.e., 2023-28. Most of the market expansion would be propelled by the increasing incidence of cyberattacks among organizations, resulting in massive financial losses, coupled with ever-increasing requirements of enterprises to protect sensitive data from ransomware & malware. Besides, the increasing adoption of advanced technologies like the IoT, AI, etc., coupled with technological advancements like next-generation as well as integrated security solutions and the rapid transition of businesses to cloud-based models, are other prominent aspects projected to stimulate the market expansion through 2028.
|Study Period||Historical Data: 2018-21|
|Base Year: 2022|
|Forecast Period: 2022-28|
|Key Companies Profiled||Lloyd, Berkshire Hathaway, AXA, Allianz, Assicurazioni Generali, Munich Re, Cyence, PolicyGenius, Safeshare|
|Unit Denominations||USD Million/Billion|
Digitalization trends in various industries have resulted in significant challenges associated with digital security management. Consequently, managing online risks has become one of the most crucial operations for any business to protect their data from digital frauds, cybercrimes, & data breaches. Cyber insurance provides financial protection to policyholders against any internet-based incident. It involves first-party coverage from losses arising due to hacking, extortion, breaches, data destruction, and denial-of-service attacks. Considering these benefits, the UAE is witnessing an increasing number of organizations opting for these solutions, i.e., stimulating the expansion of the Cyber Insurance Market.
Latest Trend in the UAE Cyber Insurance Market
Blockchain technology offers quick results, transparency, better efficiency, & real-time fraud mitigation. On the other hand, artificial intelligence helps enhance the efficiency of insurance brokers & accurately predict cyberattacks. As a result, these technologies are being integrated into cyber insurance solutions in order to deliver tailored coverage with accurate threat analysis, reduced chances of fraud, automated compliance, and improved customer experience, thereby creating new prospects for the leading companies operating in the UAE Cyber Insurance Market to introduce new insurance business models and yield significant profits in the coming years.