Artificial intelligence is transforming business in remarkable ways, but it is also changing the cyber threat landscape at a pace many organizations struggle to match. According to the 2026 Cyber Claims Report from our long-time partner, Chubb, one of the world's leading cyber insurance and risk mitigation specialists, cyber risk is increasingly defined by three realities: AI-driven attacks, growing legal exposure, and the interconnected nature of today's business ecosystems. 

The report notes that while many organizations have improved their cybersecurity controls, the severity of losses continues to rise, particularly in the United States. In 2025, the average cost of a data breach in the U.S. exceeded $10.2 million, more than double the global average. 

Perhaps most concerning is how quickly cyber incidents now unfold. Criminals are leveraging AI to automate reconnaissance, create highly convincing phishing and social engineering schemes, generate deepfakes, and accelerate attacks to the point where manual intervention may no longer be effective. At the same time, even seemingly simple mistakes, such as an employee uploading sensitive information into a public AI tool, can create significant liability. 

The financial consequences extend far beyond restoring systems. Today's cyber incidents increasingly trigger regulatory investigations, privacy litigation, class-action lawsuits, business interruption losses, and reputational damage. Chubb's claims experience demonstrates that organizations may face substantial costs not only from direct attacks, but also from vendor failures, ransomware events, privacy disputes, and social engineering fraud.

One of the report's most important messages is that cyber risk is no longer just an IT issue. It is an enterprise-wide risk management challenge that touches operations, HR, finance, legal, vendor management, and employee benefits. Organizations that invest in strong cybersecurity governance, employee training, third-party risk management, and incident response planning are generally better positioned to withstand and recover from cyber events.

At UWIB Risk & Insurance Solutions, we have worked alongside Chubb for decades, helping clients navigate a continually evolving risk environment. We value Chubb's extensive claims experience, data-driven insights, and commitment to helping organizations improve both their cyber resilience and recovery capabilities.

A Call to Action

Cyber exposures rarely exist in isolation. They often intersect with your property, liability, management liability, crime, employee benefits, and vendor risk strategies.

If you would like an experienced second opinion, we invite you to connect with a UWIB advisor for a complimentary review of your entire Property & Casualty and Employee Benefits insurance portfolio. We'll help identify potential gaps, emerging exposures, and opportunities to strengthen your overall risk management strategy.

Contact us to get started.

Source: chubb-cyber-claims-report-2026.pdf, published by Chubb. Used with appreciation and credit to Chubb for its industry research and cyber risk insights.