The Asia-Pacific (APAC) region is witnessing a dramatic increase in demand for cyber insurance, driven by rapid digital transformation and escalating cyber threats. According to Gallagher Re, Australia is leading the charge, with countries like Japan following closely behind.
Australia’s cyber insurance market is expanding rapidly, spurred by a series of high-profile cyberattacks and a strong regulatory environment. The introduction of the Notifiable Data Breaches (NDB) scheme in 2018 has placed greater emphasis on cybersecurity, pushing businesses to seek insurance solutions to mitigate risks. As a result, Australia’s regulatory focus has positioned it at the forefront of the region’s cyber insurance sector.
Japan also holds a significant share of the market, benefiting from its well-established insurance industry and a comprehensive regulatory framework. The increasing frequency of cyber incidents has prompted Japanese companies to opt for more robust cyber insurance policies, reflecting the growing importance of cyber protection in the business landscape.
Meanwhile, China and India are emerging as major players in the cyber insurance market. In China, the government’s focus on cybersecurity, alongside a growing number of cyber incidents, is driving market growth. India’s cyber insurance sector is also experiencing significant development, propelled by rising cyber threats, regulatory changes, and increasing awareness about digital security.
Currently, APAC accounts for 7% of the global cyber insurance market, with demand growing at a staggering rate of nearly 50% annually. As digital transformation continues to accelerate, the region’s cyber insurance landscape is expected to expand even further, with businesses across the region recognizing the importance of safeguarding against cyber risks.
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