GlobalData’s 2021–23 UK SME Insurance coverage Surveys point out that lower than half of UK SMEs, of all sizes, consider that the cyber danger dealing with their enterprise has elevated because the begin of the Covid-19 pandemic. In its Threat Barometer 2024 report, Allianz identifies cyber incidents as a very powerful enterprise danger in 2024. Conveying cyber danger to purchasers continues to achieve significance as geopolitical tensions and cybercriminal sophistication develop.

As per our 2021–23 UK SME Insurance coverage Surveys, the cyber danger perceived to be dealing with a enterprise is affected by the scale of the corporate. Bigger SMEs are significantly extra conscious of the rising cyber danger they face than sole merchants. For sole merchants, the perceived danger has grown steadily since 2021, with a 7.4 percentage-point improve within the share of sole merchants saying that their cyber dangers have elevated because the pandemic. For microenterprises and small companies, the determine is comparatively unchanged yr on yr. Simply over 1 / 4 of microenterprises and simply over a 3rd of small firms consider the cyber danger they face has elevated because the begin of the pandemic. Medium firms are more than likely to understand that their cyber danger has elevated, with a big improve in 2022 presumably linked to cyberattacks related to Russia’s invasion of Ukraine. Nonetheless, lower than 50% of medium-sized firms consider their cyber danger has elevated since 2019, suggesting that extra could be achieved to tell companies extra totally of cyber dangers within the present age.

Allianz’s Threat Barometer 2024 finds that 36% of firms rank cyber danger as their high concern in 2024. The highest issues surrounding cyber danger are knowledge breaches, cyber incidents involving essential infrastructure, and ransomware assaults. The emergence of generative AI is a key problem for cybersecurity suppliers and insurers, enabling dangerous actors to supply extra compelling threats in addition to generate new strains of viruses at higher speeds. The emergence of extremely plausible deepfakes can be turning into a key problem within the area.

Cyber danger is actually one of the vital urgent for companies and insurers in 2024. GlobalData’s 2024 UK SME Insurance coverage Survey studies that 54.4% of UK SMEs are involved, to some extent, about cyber danger. Brokers and insurers should work to extend this determine because the pattern of rising sophistication, pace, and adaptableness of cybercriminals (state-sponsored or in any other case) appears set to proceed, empowered by technological progress.