The Allianz Risk Barometer shows cyber attacks and AI risks dominating corporate concerns across Asia Pacific as business interruption remains a major threat.
Cyber risks remain the most serious threat facing businesses in Asia Pacific in 2026, according to the latest findings from the Allianz Risk Barometer. The report highlights how ransomware attacks, data breaches and system outages continue to disrupt operations across industries, reinforcing cyber risks as a top priority for companies of all sizes.
The study shows that cyber incidents account for 36% of responses in Asia Pacific, keeping them firmly at number one. The region recorded the highest number of cyberattacks globally in 2024, with incidents rising 13% year-on-year and representing more than a third of global attacks. This sustained exposure reflects growing digital reliance combined with fast-evolving threat tactics.
Artificial intelligence has emerged as the most dramatic riser in the risk rankings, climbing from ninth place to second in a single year. AI-related risks were cited by 32% of respondents, underlining concerns about operational disruption, legal liability and reputational damage as generative and agentic AI systems become embedded in daily business functions.
For the first time in five years, business interruption has dropped out of the top two risks in Asia Pacific, ranking third. Despite this shift, the threat remains significant because interruptions are often triggered by other risks, including cyber incidents, geopolitical tensions and natural disasters. Supply chain fragility continues to amplify these concerns across trade-dependent economies.
Thomas Lillelund, chief executive of Allianz Commercial, said companies are facing a web of interconnected threats. He noted that while AI brings transformative opportunities, its rapid adoption is reshaping the risk landscape and placing it alongside more established dangers such as cyber attacks.
Across Asia Pacific, cyber incidents rank among the top three risks in economies including Australia, China, India, Japan, Singapore and South Korea. Although cyber resilience is improving, insurance coverage remains relatively low compared to Europe and North America, with many large organisations still self-insuring against digital threats.
Globally, cyber risks have held the top position for the fifth consecutive year, recording their highest-ever score at 42% of responses. They are now the leading corporate concern in every region, reflecting the accelerating pace of digitalisation and increasing geopolitical and regulatory complexity.
AI risks are also rising worldwide, reaching second place globally after jumping from tenth position in 2025. More than 90% of companies in Asia Pacific plan to scale up generative AI within two years, increasing exposure to risks linked to data governance, accountability and system reliability.
Business interruption remains closely tied to geopolitical uncertainty and regulatory change. Protectionist trade policies, tariffs and regional realignments are placing additional pressure on supply chains. Despite this, only a small fraction of surveyed businesses consider their supply chains to be highly resilient, underscoring ongoing vulnerability.
Natural catastrophes rank fifth in Asia Pacific, driven by events such as earthquakes, typhoons, floods and wildfires during 2025. Climate change remains a persistent concern, retaining its position among the top six global risks as rising temperatures intensify weather-related disruptions.
The Allianz Risk Barometer underscores a clear message for 2026. Businesses must strengthen cyber defences, manage AI adoption responsibly and build resilience against interruptions caused by geopolitical shifts and extreme weather. In an increasingly volatile environment, risk preparedness is becoming a defining factor of long-term competitiveness.
