Guidehouse Insights Anticipates the Cyber Insurance Market for Energy to Grow at a Compound Annual Growth Rate of Nearly 18% by 2030

Market barriers stem from uncertainty in the insurance industry, the field of cybersecurity, and the nature of its evolving threat landscape

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Guidehouse Insights

Mar 10, 2022, 05:15 ET

BOULDER, Colo., March 10, 2022 /PRNewswire/ -- A new report from Guidehouse Insights reviews cyber risk across the energy industry and looks at the market drivers and barriers associated with cyber insurance policy underwriting and assessment.

Cyber insurance is a nascent area in the global insurance market but has gained traction over the past several years as the rates and costs of cyber incidents continue to increase in frequency and severity. In 2022, ransomware remains the leading cyber threat for businesses. According to a new report from Guidehouse Insights, the cyber insurance market for energy is anticipated to grow to $441.8 million between 2021 and 2030 at a compound annual growth rate (CAGR) of 17.7%.

"Although the sensitivity of data across the energy industry is less of a concern, the potential for prolonged business interruptions and cyber physical impacts from cyber access and exploitation remain high," says Michael Kelly, senior research analyst with Guidehouse Insights. "In the energy industry, cyberattack severity can be high, and likelihood can be low, but the risk that a cyber incident can be catastrophic remains."

According to the report, the uncertainty of cyberattacks, accumulation risk, liability issues, and more have seeped into the ability to understand and price cyber insurance policies. Over the next several years, leading insurance providers will likely work diligently to tackle these hurdles and promote enhanced understanding of the problem set for cyber coverage to make cyber insurance increasingly profitable for their businesses.

The report, Cyber Insurance for the Energy Industry, reviews cyber risk across the energy industry and the market drivers and barriers associated with cyber insurance policy underwriting and assessment. Premium amounts in the projected data are determined by average premiums per segment per region, with penetration rates varying in each segment and region. An executive summary of the report is available for free download on the Guidehouse Insights website.

About Guidehouse Insights
Guidehouse Insights, the dedicated market intelligence arm of Guidehouse, provides research, data, and benchmarking services for today's rapidly changing and highly regulated industries. Our insights are built on in-depth analysis of global clean technology markets. The team's research methodology combines supply-side industry analysis, end-user primary research, and demand assessment, paired with a deep examination of technology trends, to provide a comprehensive view of emerging resilient infrastructure systems. Additional information about Guidehouse Insights can be found at www.guidehouseinsights.com.

About Guidehouse
Guidehouse is a leading global provider of consulting services to the public sector and commercial markets, with broad capabilities in management, technology, and risk consulting. By combining our public and private sector expertise, we help clients address their most complex challenges and navigate significant regulatory pressures focusing on transformational change, business resiliency, and technology-driven innovation. Across a range of advisory, consulting, outsourcing, and digital services, we create scalable, innovative solutions that help our clients outwit complexity and position them for future growth and success. The company has more than 12,000 professionals in over 50 locations globally. Guidehouse is a Veritas Capital portfolio company, led by seasoned professionals with proven and diverse expertise in traditional and emerging technologies, markets, and agenda-setting issues driving national and global economies. For more information, please visit www.guidehouse.com.

* The information contained in this press release concerning the report, Cyber Insurance for the Energy Industry, is a summary and reflects the current expectations of Guidehouse Insights based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report's conclusions and the methodologies used to create the report. Neither Guidehouse Insights nor Guidehouse undertakes any obligation to update any of the information contained in this press release or the report.

For more information, contact:

Jennifer Peacock
+1.404.575.3859
[email protected]

SOURCE Guidehouse Insights