UAE Cyber Insurance Market Hits $70 Million Amid Rising Digital Threats
WAM reports surge in demand as businesses seek protection against AI-driven cyberattacks
The UAE’s cyber insurance market has reached an estimated $70 million, reflecting the nation’s accelerating digital transformation and heightened awareness of cyber risks. The figures were announced by the UAE Cybersecurity Council, according to the Emirates News Agency (WAM).
Cyber insurance is increasingly seen as a vital safeguard against the financial and operational fallout of cyber incidents. Policies typically cover incident investigation, data recovery, legal liabilities, and compensation claims, helping organizations recover quickly and minimize losses.
Premiums are expected to rise as cyberattacks become more sophisticated, often leveraging artificial intelligence and social engineering techniques. Currently, about 80% of UAE institutions and companies recognize cyber insurance as an essential part of their risk management framework.
The Cybersecurity Council emphasized that insurance should complement, not replace, core cybersecurity measures. Critical sectors such as finance, healthcare, and energy are particularly reliant on cyber insurance to safeguard against service disruptions and reputational damage.
Insurers increasingly require organizations to meet minimum cybersecurity standards before granting coverage, encouraging adoption of international best practices. Looking ahead, greater collaboration between insurers and cybersecurity firms is expected, combining prevention, coverage, and incident response services.
