Attributed to: Words from Johnny Karam, Managing Director and Vice President, International Emerging Markets at Cohesity
By 2026, cyber insurance will no longer be a reactive safety net, it will be a proactive barometer of digital resilience. As threats grow more complex and unpredictable, insurers are rewriting the rules, linking cover and cost directly to a company’s measurable cyber resilience maturity.
According to Cohesity’s research conducted on the sidelines of GITEX Global 2025, 66 percent of UAE organisations report full compliance with national data protection laws, yet a third still struggled to keep up with evolving regulations. At the same time, 62 percent have begun monitoring compliance directly across their third-party and multi-cloud providers, showing that data sovereignty has shifted from a regulatory requirement to a core operational priority. Although 87 percent of organizations believe they can recover quickly, the rising complexity of distributed data flows is challenging this confidence in practice.
The regional picture mirrors the same disconnect between perceived readiness and actual recoverability. Cohesity’s GITEX research shows that 57 percent of UAE organizations still classify themselves as “at risk”, despite rising investment in modern security and data protection tools. This confidence gap highlights a deeper operational challenge: while organisations are strengthening compliance frameworks and improving data governance, many still struggle to restore clean, sovereign, uncompromised data at speed during a disruption.
These findings point to a clear reality. Cybersecurity maturity and data sovereignty are now deeply interconnected. An organization cannot claim true cyber resilience if it does not maintain sovereign control over where its data resides, how it is governed, and how quickly it can be restored during a disruption. UAE organisations are moving forward on compliance and governance, but cyber insurance providers, who underwrite and price cyber risk, see that the real vulnerability lies in whether organisations can recover critical data reliably and within jurisdictional boundaries. This is prompting cyber-risk insurers to tighten their requirements and place greater emphasis on verified recovery capability when determining coverage and cost.
The 2026 Shift:
- Recovery- led underwriting will shape cyber insurance decisions: Cyber insurance providers in the UAE will increasingly prioritise evidence of rapid and reliable recovery. As organisations face more complex attacks across multicloud environments, insurers will look for clear proof that businesses can restore clean and sovereign data at speed. Organisations that demonstrate strong recovery discipline, integrity validation and mature backup foundations will receive better coverage terms, fewer exclusions and more favourable pricing.
- Sovereignty-driven risk scoring will become standard practice: Data sovereignty will become a central factor in how cyber risk is evaluated in the UAE. With data spread across multiple cloud and third-party environments, insurers will seek assurance that sensitive information can be recovered within national boundaries and in alignment with local regulations. Organisations that maintain clear visibility and control over where their data resides will be viewed as lower risk, while those with fragmented or cross-border data arrangements will face stricter insurance requirements.
- Operational resilience will take priority over individual security tools: Insurers increasingly accept that even well-protected organisations can still experience breaches. What will matter more in 2026 is the ability to maintain operations during a disruption. UAE organisations will be assessed on their capability to sustain critical services, isolate clean backups and validate the integrity of their data across cloud providers and suppliers. AI will support this by enabling teams to build lightweight micro-SaaS applications that automate recovery tasks, improve visibility and address specific operational challenges with speed. These targeted tools will strengthen overall resilience and influence how insurers evaluate risk.
Organisations that invest in resilience, embed robust recovery capabilities, and continuously strengthen their cyber posture will not only reduce risk but also unlock more favourable insurance terms. By 2026, cyber maturity won’t just protect against financial loss, it will be a measurable asset that drives trust, value, and operational confidence.
