Geopolitical and cyber risks reshaping insurance policies: Aon survey

Aon plc has released its 2025 Global Risk Management Survey, showing how shifting risk perceptions are influencing insurance demand and risk transfer strategies worldwide. 

The biennial study, based on responses from nearly 3,000 executives and risk managers across 63 countries, highlighted geopolitical volatility and cyber exposures as central concerns with direct implications for insurers, brokers and policyholders.

For the first time in the survey’s 19-year history, geopolitical volatility entered the top 10 global risks, rising sharply from its 2023 position. The risk now sits alongside issues such as business interruption, regulatory change and economic slowdown, reflecting growing instability across trade flows, supply chains and financial performance. This change suggests increased demand for political risk, contingent  business interruption and trade credit coverage. Yet Aon found that only 14% of organizations track their exposure to the top 10 risks, and just 19% use analytics to measure the value of their insurance programs.

Cyberattack or data breach continues to dominate as the number one risk both today and in the future. The rapid adoption of digital platforms and artificial intelligence has broadened the threat landscape, driving the need for more advanced cyber insurance solutions.

Despite its top ranking, only 13% of respondents said they have quantified their cyber exposure, which Aon noted is contributing to widespread underinsurance. The survey emphasizes the importance of embedding structured AI risk governance and cyber resilience frameworks into both business and insurance strategies, while also expanding access to quantification tools that allow clients to secure adequate cover.

The 2025 survey also recorded changes in workforce-related risks. In 2023, failure to attract and retain top talent ranked among the top five concerns, but in this year’s results, human capital risks dropped out of the top 10 entirely.

While insurers may see reduced demand for workforce protection solutions in the short term, Aon cautioned that labor vulnerabilities remain linked to systemic challenges such as supply chain disruption, cyber resilience and operational continuity.

Looking ahead, Aon’s forward analysis showed that the top risks expected by 2028 include many of today’s concerns, but with notable new entries.

Cyber risk is forecast to remain the number one threat, followed by economic slowdown, competition, commodity price volatility and geopolitical pressures. Business interruption and regulatory change are also expected to persist in the top tier. However, artificial intelligence and climate change are projected to join the top 10 within three years, with climate moving into ninth place. This reflects the growing recognition of technology-driven disruption and environmental volatility as systemic risks with direct implications for underwriting, reinsurance and long-term risk modeling.

Aon’s 2025 findings suggest that as volatility becomes a permanent feature of the operating environment, insurers and brokers will be called upon to integrate analytics, scenario planning and bespoke coverage into their offerings.

For the insurance market, the survey underscores the need to adapt products and services to a risk landscape increasingly shaped by cyber exposures, political instability and climate-driven pressures.