Cyberattacks, AI, and geopolitical tensions: key risks and responses from the insurance industry

This analysis, based on the opinions of 698 professionals in 42 countries, offers an updated analysis of emerging risks and reflects substantial changes compared to the previous edition (2023). The threat landscape has shifted, and insurers must adapt quickly to respond effectively.

In a market characterized by unprecedented fragility and complexity, the insurance industry needs to integrate innovation, governance, and sustainability to meet today’s challenges. The emergence of new risks calls for a resilient, forward-looking approach.

The five key risks for 2025 and MAPFRE's strategy to mitigate them are presented below:

1. Cyberattacks: the most imminent threat

The increasing sophistication and volume of cyberattacks mean they are the sector’s primary risk. Methods such as ransomware and the malicious use of AI have propelled this threat to the top of the list. MAPFRE has strengthened its defense strategy through technology alliances and advanced risk analysis, promoting a corporate culture of prevention. The company shares the importance of cyber risks on its website, while the sector confirms the steady increase in the purchase of policies that offer protection against cyberattacks. 

2. Artificial Intelligence: a double-edged sword

AI is transforming the industry, but its misuse and the lack of ethical governance, can generate bias, fraud, and regulatory conflicts. To address this growing threat, MAPFRE has adopted a clear policy toward humanistic and responsible AI, guaranteeing transparency and fostering trust in the automation of decisions. The company formalized these principles in its manifiesto for ethical AI, which reflects its commitment and details its application of AI in internal processes and customer service. 

3. Pace of technological development

Rapid technological evolution is outpacing the sector’s ability to adapt, forcing the renewal of obsolete infrastructure. To address this new reality, MAPFRE maintains a strategy of continuous digital transformation, with investments in emerging technologies and modernization of operational processes to optimize efficiency and improve the user experience. This approach is reflected in its 2024 innovation plan for the insurance sector. 

4. Macroeconomic risks: global uncertainty

Persistent inflation, interest rate volatility, and geopolitical tensions create an uncertain environment that affects profitability and financial planning. To address this situation (and the resulting risks), MAPFRE Economics offers comprehensive analyses of the economic context to anticipate future scenarios and define financial strategies that adapt to new circumstances. 

5. Climate change: a structural risk

Climate change remains a significant structural risk, despite its decreased relative weight in the ranking. Its impact is particularly evident in increased losses in segments such as property and casualty (P&C) and reinsurance, due to the increased frequency and severity of extreme weather events. To adapt to this reality, MAPFRE is actively reaffirming its commitment to sustainability, and presented its commitments and objectives at COP 30 to further enhance the protection and well-being of society. This dedication is reflected above all in its continued promotion of a fair energy transition and the development of innovative solutions that support decarbonization, with coverage to support renewable energy, electric mobility, and regenerative agriculture, among others. This strategy is detailed in the company’s Climate Change and Sustainability section.

The report emphasizes the need to strengthen technological resilience, accompanied by ethical principles and sustainable innovative processes. Turning risks into opportunities through anticipatory strategies is key to consolidating the sector's position in a complex economic and social context.

MAPFRE exemplifies this direction through its comprehensive policies in cybersecurity, AI governance, technological modernization, rigorous macroeconomic analysis, and firm commitment to sustainability. The combination of these factors is crucial to maintain the trust of customers and investors, as well as to ensure robust and responsible leadership.

Only with a multidisciplinary strategic approach will it be possible to successfully face the challenges posed by the current context and ensure that taking out a policy remains a key pillar.

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