Ransomware threats are escalating worldwide as artificial intelligence (AI) and cloud vulnerabilities expose businesses to increasingly sophisticated cyberattacks, according to a new report by global insurer QBE.
The company’s latest cyber risk report, Cloud Cover: Forecasting Digital Disruption in a Cybercrime Climate, predicts that the number of ransomware victims publicly named on leak sites will surpass 7,000 by 2026 — a dramatic rise from 1,412 in 2020.
The report, developed in partnership with Control Risks, reveals that cybercriminals are exploiting AI tools and cloud infrastructure to gain unauthorized access to sensitive data, disrupt critical systems, and launch targeted attacks across industries.
UK Faces Rising AI-Driven Cyber Risks
Over the past two years, the UK has faced 49 major cyber incidents, representing around 10% of the global total. This highlights how AI-powered ransomware and phishing campaigns are becoming more advanced and geographically widespread.
Globally, government and administrative sectors remain the most targeted (19%), followed by IT and telecommunications (18%), and manufacturing, logistics, and transport (13%), according to the report.
AI and Cloud Expansion Fueling Cybercrime
While cloud computing and AI adoption have streamlined business operations, QBE warns that these same technologies are expanding the attack surface for cybercriminals.
In 2024 alone, deepfakes were linked to nearly 10% of successful cyberattacks, causing losses between $250,000 and $20 million. By 2025, global data volumes are projected to reach 200 zettabytes, with half stored in the cloud, making digital storage platforms lucrative targets.
Alarmingly, high-severity cloud alerts jumped 235% in 2024 compared to the previous year — evidence that the scale and complexity of ransomware threats are accelerating faster than most organizations can manage.
QBE Urges Proactive Cyber Resilience
David Warr, QBE’s cyber portfolio manager, cautioned that as UK firms increase their reliance on cloud and AI tools, they are simultaneously introducing new vulnerabilities.
“Outsourcing and hyperconnectivity have improved efficiency but created new layers of exposure,” Warr said. “Every third-party connection is a potential point of failure that could bring operations to a standstill.”
To combat these risks, QBE recommends a proactive cyber resilience strategy, emphasizing stronger identity and access controls, regular configuration audits, encryption of sensitive data, and continuous threat monitoring.
The insurer also urges businesses to assess their third-party vendors, establish contingency plans, and embed cybersecurity principles into every stage of technology deployment.
AI Adoption Outpacing Security Preparedness
The report notes that AI tools like ChatGPT and Microsoft Copilot have reached record usage, with 755 million and 88 million users respectively by early 2025. Nearly 78% of organizations now use AI in at least one business area, up from 55% a year ago.
However, this widespread adoption has blurred the line between productivity and exposure, as cybercriminals use the same AI tools to develop scams, identity theft operations, and deepfake campaigns.
Insurance Industry Faces Growing Pressure
As ransomware incidents nearly tripled year-over-year in the first quarter of 2025 — reaching 1,537 cases versus 572 in 2024 — insurers are bracing for increased claims and more complex underwriting challenges.
QBE’s findings suggest that cyber insurance demand will rise sharply, but evaluating risks will become increasingly difficult as AI-driven attacks evolve and supply chain dependencies deepen.
With ransomware threats surging and digital ecosystems expanding, QBE concludes that cybersecurity must now be treated not just as a defensive measure but as a core component of enterprise resilience in the AI era.