Cyber incidents remain the biggest business risk for companies in Asia Pacific, while concerns linked to artificial intelligence have risen sharply, according to a survey, reflecting how fast-changing technology and geopolitical uncertainty are reshaping corporate risk planning.
The annual survey by insurer Allianz ranked cyber risks, particularly ransomware attacks, as the top concern for companies of all sizes in the region, cited by 36% of respondents. AI emerged as the fastest-rising risk, jumping to second place from ninth last year, with 32% of respondents flagging it as a major concern.
Business interruption, long a dominant worry for firms in Asia Pacific, slipped to third place, although Allianz said it remained closely linked to other risks such as cyber incidents, geopolitical tensions and natural catastrophes.
Cyber incidents were ranked among the top three risks in markets including Australia, Hong Kong, India, Japan, Singapore, South Korea and Thailand. The Asia Pacific region recorded the highest number of cyberattacks globally in 2024, with incidents rising 13% year on year and accounting for 34% of attacks worldwide, the report said.
Despite growing awareness, Allianz Risk Barometer 2026 noted that cyber insurance coverage among companies in the region remains lower than in Europe or North America, with many large organisations still self-insuring against cyber risks.
Globally, cyber incidents ranked as the number one business risk for the fifth consecutive year, receiving the highest score since the survey began, showing businesses’ growing dependence on digital systems at a time of escalating cyber threats and regulatory complexity.
AI-related risks have moved rapidly
AI-related risks have moved rapidly up corporate agendas as companies scale up the use of generative and autonomous systems. More than 90% of firms in Asia Pacific plan to expand generative AI over the next two years, the survey found, raising concerns around liability, governance and reputational exposure.
“Given the continuing rise of AI across society and industry, it is unsurprising that it is the big mover in the Allianz Risk Barometer,” said Thomas Lillelund, CEO, Allianz Commercial, adding that rapid adoption was reshaping the risk landscape alongside more established threats.
Business interruption remains a significant concern in the region, particularly as geopolitical risks and protectionist trade policies continue to disrupt global supply chains. Changes in legislation and regulation, including trade tariffs, ranked fourth in Asia Pacific.
Natural catastrophes ranked fifth, following a year marked by earthquakes, typhoons, floods and wildfires across the region. Allianz said Asia continues to face a large insurance gap, with more than 80% of disaster-related losses uninsured.
The survey found that only 3% of respondents globally considered their supply chains to be “very resilient”, signalling vulnerabilities as companies adapt to a more fragmented and volatile global trading environment.
