The UAE’s cyber insurance sector has grown to nearly USD70M as organisations increase investments in digital protection amid a rise in cyberattacks and online threats.
The UAE Cybersecurity Council said cyber insurance is becoming a critical component of risk management strategies as businesses continue expanding their digital operations across sectors.
Cyber insurance policies are designed to help companies manage the financial impact of cyber incidents, including data breaches, ransomware attacks, and operational disruptions.
Coverage often includes expenses linked to investigations, legal liabilities, recovery operations, and compensation costs, helping businesses minimise downtime and restore services quickly.
Officials expect cyber insurance demand to continue rising as cybercriminals adopt more advanced technologies, including artificial intelligence-driven attacks and sophisticated phishing methods.
Around 80 per cent of organisations in the UAE now reportedly view cyber insurance as an important layer of protection within their wider cybersecurity framework.
Authorities also stressed that insurance should complement robust cybersecurity systems rather than replace proactive security measures and digital defence strategies.
Industries such as banking, healthcare, and energy are increasingly prioritising cyber insurance due to the potential operational and reputational damage caused by cyber incidents.
Insurance providers are also encouraging stronger cybersecurity standards by requiring businesses to meet specific protection benchmarks before policies are approved.
The market is expected to witness greater collaboration between cybersecurity firms and insurers to deliver integrated solutions focused on prevention, rapid response, and recovery support.
Advanced analytics and risk assessment technologies are also expected to play a larger role in helping insurers customise policies based on sector-specific threats and operational requirements.
The Cybersecurity Council added that modern cyber resilience strategies now focus not only on prevention but also on business continuity, rapid incident response, and sustaining trust in the digital economy.
