Cybersecurity Insurance Market

Market Synopsis:

Global Cybersecurity Insurance market valued at USD 8.32 Billion in 2021 and is projected to reach a value of USD 26.24 Billion by 2028 at a CAGR of 21.1% over the forecast period.

The increase in the adoption of Cybersecurity Insurance products owes to the rise in consequences of cyber-attacks on the safety of the public, economic prosperity, and the cyber security of government. Moreover, some other factors that are fueling the growth of the Cybersecurity Insurance market involves, the surge in the compulsory cybersecurity legislation and regulations, data breaks that cost millions of dollars for businesses, and an increased rate of recovery of financial losses to encourage the growth of Cybersecurity Insurance market. Additionally, rising awareness about business interruption (BI) cyber risk and an increase in the number of obligatory legislations for the security of data in different end-user like healthcare, and banking are the factors projected to fuel the growth of the Cybersecurity Insurance market in the coming years. Nowadays, data breaches and cyberattacks are increasing globally, and are boosting the growth of the Cybersecurity Insurance market during the forecast period. According to the research 6 out of 10 companies experienced cybercrime and thus need Cybersecurity Insurance for the safety of their business which is expected to drive the growth of the Cybersecurity Insurance market in the years to come. However, the high cost of insurance policy is expected to hamper the growth of the Cybersecurity Insurance market during the forecast period. While the exclusion of cyber insurance cover from property and casualty (P&R) insurance, and the increasing adoption of artificial intelligence and blockchain technology for risk analytics are expected to provide substantial growth opportunities for the Cybersecurity Insurance market in the coming future.

Market Segmentation:

The Cybersecurity Insurance market is segmented on the basis of components, insurance coverage, insurance type, organization size, and end-user. Based on components, the market is segmented into Solutions and services. On the basis of insurance coverage, the market is segmented as Data breach, Cybersecurity liability, Source/ Target, Internal, and External. On the basis of insurance type, the market is segmented as Packaged, and Stand-alone. Based on organization size, the market is segmented into Large Enterprises and SMEs. On the basis of end-user, the market is segmented into Technology providers, the Insurance providers.

The Standalone Component is Projected to Have Largest Share in Insurance Type Segment

Based on insurance type, the standalone type is predicted to acquire the largest share of the Cybersecurity Insurance market during the forecast period owing to the necessity for dedicated cyber insurance policies and to decrease the cases of silent cyber. The growth in the organization's concerns associated with cyber risk and their only motive to adopt strategies for cyber risk protection are driving the growth of the standalone cybersecurity policies. Moreover, standalone policies continue to grow along with the insurance providers like Lloyd, and Allianz. Additionally, these cybersecurity policies handle more complex cyber risks than packaged cyber insurance.

Large Enterprises to Grow at the Highest CAGR During the Forecast Period

Based on enterprise size, the large enterprise segment is expected to grow at the highest CAGR during the forecast period. A large number of professional and important data is utilized in large enterprises and can be hacked and misused and thus requires insurance for this security, this factor is projected to fuel the growth of Cybersecurity Insurance in the large enterprise segment during the forecast period.

North America Leads the Global Cybersecurity Insurance Market

The North America is among the well-established economies, which authorize it to invest in the activities of research and development and this can contribute to the growth of advanced technologies in the Cybersecurity Insurance market. Moreover, the presence of key players in the Cybersecurity Insurance market is predicted to be the prime factor for the growth of the Cybersecurity Insurance market in the North American region during the forecast period.

Asia Pacific is Expected to Grow at the Fastest Rate Over Forecast Period

The APAC region is worried about the rising security spending due to the growth in threat scenery. The Asia Pacific region is including developing economies like India, Japan, China, and Singapore. Moreover, with active government guidelines and technological advancements, Cybersecurity Insurance is expected to have high opportunities for growth in this APAC region. Numerous expansions are taking place in APAC, regarding the acceptance of technologies, like BI tools, analytics, cloud, and rapid infrastructure growth. The rapid growth in connectivity and the accelerating step of digital transformation is making the Asia Pacific region particularly helpless to cyber exploitation and thus the demand for the Cybersecurity Insurance market before and after the forecast period.

Competitive Landscape:

The major players in the Cybersecurity Insurance market are adopting various innovative strategies to expand their market existence. Some of the Major key players in the market are Technology Vendors - 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), Kenna Security (US), Cylance (US), FireEye (US), CyberArk (US), CYE (Israel), SecurIT360 (US), and Founder Shield (US). Insurance Vendors - 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). Start-up Vendors - At-Bay (US), Cybernance (US), CyberCube (US), Coalition (US), Arceo.ai (US), Kovrr (Israel), Sayata Labs (Israel), Zeguro (US), RiskSense (US), Cyence (US), SafeBreach (US), and Cronus Cyber Technologies (Israel)..

Segmentation of Cybersecurity Insurance Market:

By Component -(Revenue- USD Million, 2016-2028)

· Solution

· Service

By Insurance Converge-(Revenue- USD Million, 2016-2028)

· Data breach

· Cybersecurity liability

By Insurance Type-(Revenue- USD Million, 2016-2028)

· Packaged

· Stand-alone

By Organization Size-(Revenue- USD Million, 2016-2028)

· Large Enterprises

· SMEs

By end user-(Revenue- USD Million, 2016-2028)

· Technology provider

· Insurance provider

By region- (Revenue- USD Million, 2016-2028)

North America-

• The US

• Canada

• Mexico

Europe-

• Germany

• The UK

• France

• Italy

• Spain

• Rest of Europe

Asia-Pacific-

• China

• Japan

• India

• South Korea

• South East Asia

• Rest of Asia Pacific

Latin America-

• Brazil

• Argentina

• Rest of Latin America

Middle East & Africa-

· GCC Countries

· South Africa

· Rest of Middle East and Africa