According to a new report from management consulting firm Markets and Markets, because of evolving cyberthreats and rising business awareness, advanced risk assessment techniques, regulatory influence, and cybersecurity collaborations may shape the growing market for cybersecurity insurance.
The authors project the market will grow from US$10.3 billion in 2023 to US$17.6 billion by 2028, a compound annual growth rate (CAGR) of 11.4 per cent during the forecast period.
“The rise in cyber threats, such as data breaches, ransomware, and phishing attacks, has driven the demand for cybersecurity insurance as organizations seek financial protection against potential losses,“ a release states.
“The demand for dedicated cybersecurity insurance policies and the need to mitigate the risks associated with ‘silent cyber’ have led to the increasing popularity of standalone cybersecurity insurance policies. These standalone policies are projected to surpass packaged cybersecurity insurance policies regarding market growth. Organizations are increasingly concerned about cyber risks and seek specialized coverage solely for cyber risk protection, driving the demand for standalone cyber policies.”