Cyber risk is no longer a future concern. It is a daily operational reality for individuals and businesses alike. As digital dependency deepens across banking, work, commerce and communication, the nature of cyber threats continues to evolve, and so too must the way the insurance industry understands and responds to them.
Drawing on DynaRisk’s threat intelligence and global claims insight, Milivoj Rajic, Head of Threat Intelligence at DynaRisk, shares his view on the risks that are shaping the cyber insurance landscape today and the threats that will define 2026.
The Cyber Risk Landscape Today
Current Threats Facing Individuals
Personal cyber risk has quietly escalated. Individuals now face many of the same tactics once reserved for organisations, but with far fewer safeguards in place.
The most prevalent threats include phishing and social engineering, where criminals impersonate trusted brands, colleagues or even family members to steal credentials or money. Account takeovers and identity theft remain widespread, fuelled by large-scale data breaches and the reuse of compromised passwords. Modern attacks increasingly bypass traditional SMS-based MFA through SIM-swap fraud, mobile malware and push fatigue techniques that overwhelm users with approval requests.
Fraudulent apps and online scams continue to grow, particularly fake investment platforms, marketplaces and romance scams that exploit trust and high-stakes personal decisions. At the same time, malware on personal devices allows attackers to silently monitor activity, harvest sensitive data and maintain long-term access to accounts.
Emerging Personal Cyber Threats
Looking ahead to 2026, Mil expects personal cyber risk to become more targeted, more automated and harder to detect.
AI-powered attacks and deepfakes are already enabling criminals to impersonate trusted contacts using realistic voices and video, dramatically increasing the success rate of fraud and identity abuse. Geopolitical tensions are also driving an increase in state-aligned cyber activity, with individuals linked to political, financial or critical sectors facing heightened targeting.
At the same time, the rapid growth of IoT devices, smart homes and 5G connectivity is expanding the attack surface inside every household. Cyber extortion is also evolving beyond ransomware, with criminals increasingly blackmailing individuals using stolen personal data or compromised private media. Continued large-scale data breaches will further fuel personalised attacks, creating long-term identity theft risks rather than one-off incidents.
The SME Cyber Risk Landscape
Current Threats Facing SMEs
For SMEs, cyber threats are already having a direct operational and financial impact. Criminal groups are prioritising ransomware attacks designed to halt operations and force rapid payment, with manufacturing, technology, construction and retail among the most targeted sectors. The United States and the United Kingdom remain the most frequently attacked markets.
Phishing, business email compromise and payment fraud continue to drive significant losses, as employees are pressured into paying fake invoices, changing supplier details or sharing credentials. Supply chain weaknesses have become a critical risk, as attackers exploit cloud platforms, software providers and third-party vendors to scale access across multiple organisations.
Credential theft and exposed remote access points remain one of the easiest ways for attackers to gain entry, particularly as hybrid working models persist. When breaches occur, SMEs face not only downtime and reputational damage but also regulatory and compliance consequences that many are not equipped to absorb.
Emerging SME Threats Shaping 2026
Mil expects the SME threat landscape to intensify further in 2026, with attackers becoming more selective and more disruptive.
Mid-sized businesses with 50 to 200 employees are increasingly seen as the ideal targets. They hold valuable data and rely heavily on digital operations, yet often lack the defensive maturity of larger enterprises. Attacks on industrial control systems and operational technology are also rising, particularly in environments where disruption creates immediate leverage rather than simple data theft.
Third-party and supply chain exploitation will continue to accelerate, allowing attackers to compromise multiple organisations through a single point of failure. AI-powered, employee-focused attacks will become more convincing and personalised, reducing the effectiveness of awareness training alone. Increasingly, attackers are aiming to stop businesses from functioning altogether, exploiting reliance on just-in-time supply chains, cloud platforms and interconnected systems.
A small number of highly active ransomware groups are industrialising attacks at scale, driving year-on-year growth in both frequency and severity. This shift is contributing directly to rising claims, premiums and pressure on underwriting models.
What This Means for Cyber Insurance in 2026
While not every cyber incident can be prevented, proactive preparedness fundamentally changes outcomes.
Continuous monitoring, early risk detection and intelligence-led insight allow insurers and insureds to anticipate attacks rather than simply react to them. As cyber threats continue to evolve, cyber insurance will increasingly move away from static, reactive cover toward proactive services that reduce risk, prevent losses and support resilience before an incident occurs.
In both personal and SME markets, the insurers that succeed in 2026 will be those that recognise cyber risk as an ongoing condition, not a one-off event, and design products and programmes that reflect the realities of today’s threat landscape.
Find out how we can help you launch a cyber product, programme or benefit, supported by our cyber risk solutions designed to fuel growth, reduce losses, and predict and prevent cyber attacks get in touch.