Prompt Injection Attack Loss Insurance Market Report 2026

The prompt injection attack loss insurance market size has grown exponentially in recent years. It will grow from $1.59 billion in 2025 to $2.05 billion in 2026 at a compound annual growth rate (CAGR) of 28.5%. The growth in the historic period can be attributed to increasing adoption of generative ai systems, rising frequency of ai-related cyber incidents, expansion of enterprise ai deployments, growing awareness of ai security vulnerabilities, evolution of cyber insurance products.

The prompt injection attack loss insurance market size is expected to see exponential growth in the next few years. It will grow to $5.53 billion in 2030 at a compound annual growth rate (CAGR) of 28.2%. The growth in the forecast period can be attributed to increasing regulatory scrutiny of ai systems, rising enterprise dependence on ai-driven operations, growing demand for specialized ai risk transfer solutions, expansion of cyber insurance underwriting models, increasing sophistication of ai attack techniques. Major trends in the forecast period include increasing demand for ai-specific cyber insurance products, rising coverage for prompt injection and model manipulation risks, growing integration of ai risk assessment frameworks, expansion of policy offerings covering ai-driven business interruptions, enhanced focus on regulatory and compliance-linked ai risk coverage.

The growing adoption of artificial intelligence (AI) is expected to drive the expansion of the prompt injection attack loss insurance market in the coming years. Artificial intelligence refers to the ability of machines and computer systems to replicate human intelligence processes such as learning, reasoning, problem-solving, perception, and language comprehension. The use of AI is increasing across industries because it enables automation of complex tasks and improves the speed and accuracy of decision-making. As AI technologies become more deeply embedded in business operations, organizations face increased exposure to AI-specific security threats, including prompt injection attacks, which has heightened the need for protective solutions. Prompt injection attack loss insurance is a specialized form of AI risk coverage that protects organizations from financial losses caused by malicious prompt manipulation, unauthorized data access, or system compromise within AI models. For instance, according to the 2025 AI Index Report published by the Stanford Institute for Human-Centered Artificial Intelligence (HAI), a US-based research organization, 78% of organizations adopted AI in 2024, up from 55% in the previous year. Therefore, the rising adoption of artificial intelligence is fueling the growth of the prompt injection attack loss insurance market.

The accelerating digital transformation of financial services is also expected to propel the growth of the prompt injection attack loss insurance market going forward. Digital transformation in financial services involves the adoption of digital technologies to modernize and automate banking, payment, and investment activities, making them faster, more efficient, and accessible through online and mobile platforms. This transformation is gaining momentum due to increasing demand for convenient, real-time financial services and the widespread use of AI-driven tools to improve operational efficiency and decision-making. Prompt injection attack loss insurance is emerging as a critical safeguard for AI-enabled financial systems, helping organizations mitigate potential financial and data losses caused by malicious prompt-based attacks. For instance, in July 2024, according to the European Central Bank, a Germany-based central bank, contactless card payments during the second half of 2023 increased by 16%, reaching 23.2 billion transactions compared to the same period in 2022. Therefore, the ongoing digital transformation of financial services is driving the growth of the prompt injection attack loss insurance market.

In August 2025, SentinelOne, a US-based cybersecurity company, acquired Prompt Security for an undisclosed consideration. Through this acquisition, SentinelOne aims to enhance its generative artificial intelligence and agent security capabilities by integrating real-time AI visibility, data protection, and prompt injection prevention features into its cybersecurity platform. This move supports enterprises in adopting AI technologies securely and at scale. Prompt Security is an Israel-based software company specializing in cybersecurity solutions, including prompt injection attack loss insurance.

Major companies operating in the prompt injection attack loss insurance market are Allianz Global Corporate & Specialty, Zurich Insurance Group, Liberty Mutual Insurance, Chubb Limited, Tokio Marine HCC, Swiss Re, Munich Re, Sompo International, QBE Insurance Group, Markel Corporation, CNA Financial Corporation, Arthur J. Gallagher & Co., Willis Towers Watson, AXA XL, Hiscox Ltd, Berkshire Hathaway Specialty Insurance, Beazley PLC, Chaucer Group, Willis Towers Watson, Cowbell Cyber.

North America was the largest region in the prompt injection attack loss insurance market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the prompt injection attack loss insurance market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the prompt injection attack loss insurance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The prompt injection attack loss insurance market consists of revenues earned by entities by providing services such as risk assessment, incident response coverage, financial loss compensation, cybersecurity consulting, AI model protection, and post-attack recovery support. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 1-3 business days.