Cybersecurity Insurance Set to More Than Double by 2030. Are Pakistani Firms Ready?

The cybersecurity insurance market is on track to more than double in size over the next five years, with analysts projecting a massive boom from $16.54 billion in 2025 to $32.19 billion by 2030.

According to new research from MarketsandMarkets, this dramatic surge is being driven by a volatile cyber threat landscape. We see a rising number of ransomware attacks, regulatory crackdowns, and the increasing complexity of digital operations globally.

Why Demand for Cybersecurity Insurance Is Exploding

Companies worldwide are under siege from data breaches, phishing attacks, and advanced persistent threats. As these incidents grow in both frequency and financial impact, organizations are turning to cyber insurance as a critical shield to limit financial loss and ensure regulatory compliance.

Experts say tighter laws are accelerating this demand. With frameworks like the EU’s GDPR, the revamped NIS2 directive, and growing enforcement of data protection laws across Asia and North America, cyber insurance is no longer optional, it’s becoming a business necessity.

Advanced Threats Call for Cybersecurity Insurance

Many insurers now offer bundled services including threat intelligence, risk scoring, and incident response support. These comprehensive packages often tie in with traditional insurance lines such as property or professional indemnity.

Chubb, CNA, Travelers, Liberty Mutual, and AXIS Capital lead the way by adapting their offerings to meet the evolving needs of businesses in finance, healthcare, retail, and manufacturing.

Asia-Pacific, Pakistan Set to Lead Market Growth

While North America remains the largest market, Asia-Pacific can experience the fastest growth through 2030. The reason? Rapid digitization, stricter national cybersecurity laws, and expanding IT investments across countries like China, India, Singapore, Pakistan and Australia.

Pakistan’s market is still in its infancy, but signs of growth are emerging. With a surge in digitalization, frequent data breaches, and rising compliance mandates, businesses are slowly waking to cyber insurance’s necessity. But major challenges persist:

• Lack of awareness among small and medium enterprises about policy benefits.

• Education gap: Many business owners underestimate cyber risks or rely on basic defenses instead of risk transfer.

Companies must act now to adopt cyber insurance before a major breach turns into both a digital and financial disaster.