Delinea Report Finds Identity Security Controls Now Central to Cyber Insurance Coverage Decisions

97% of organizations say identity-related controls influence their cyber insurance premiums or coverage terms, with Privileged Access Management as the top differentiator 

SAN FRANCISCO – November 20, 2025 — Delinea, a pioneering provider of solutions for securing human and machine identities through centralized authorization, today published new research revealing identity security as a critical factor in cyber insurance coverage. According to the report, “Identity Security Controls Become Non-Negotiable for Coverage,” 97% of respondents reported that identity-related controls influenced their premium or coverage terms in some way.   

Based on a survey of more than 750 security leaders in the U.S. and the UK, the report found that identity security now plays an outsized role in how insurers assess cyber risk management maturity and increasingly determines both coverage eligibility and pricing. Among the identity controls that matter most, respondents cited Privileged Access Management (PAM) as the top differentiator (41%) in how underwriters viewed their insurability, followed by Identity Governance and Administration (IGA) (38%), and third-party and vendor access controls (32%). Among organizations that had filed claims, nearly half (46%) said the incident that triggered their claim was either identity-related or caused by a privileged account compromise. 

“Insurers are sending a clear message: organizations must demonstrate strong identity security maturity if they want affordable coverage, or any coverage at all,” said Art Gilliland, CEO of Delinea. “We’re seeing a rapid shift from cyber insurance being a financial backstop to an audit of an organization’s identity and access posture. Identity-first security is more than just best practice. It’s now an underwriting requirement, especially in the age of AI.” 

The report also highlights how AI adoption is reshaping the insurance landscape, offering both risk mitigation opportunities and new coverage challenges. A significant 86% of respondents said their insurers offered premium reductions or credits for their use of AI in security controls. Among those whose overall cyber insurance costs decreased in the past year, 64% credited AI adoption as a key factor. The most cited premium influencer was AI-powered threat detection and monitoring (63%), followed closely by behavioral analytics and auditing (59%). However, the same technology may also introduce new exclusions; 42% of respondents said their cyber insurance policies specifically exclude AI misuse or liability from coverage. 

Additional key findings from the report include:  

• Claims and premiums continue to climb: 72% of organizations filed a cyber insurance claim in the past year—a 10-point increase from 2024—while 70% said their insurance costs also rose. 
• Insurer scrutiny intensifies: Nearly all respondents underwent security assessments to secure coverage, and more than half (51%) were required to adopt an insurer’s preferred security solution or appliance. 
• Coverage gaps persist: Only 33% of policies cover lost revenue, and 45% cover ransomware negotiations or payment. Nearly half (45%) of respondents said their policy could be voided if required security controls were not in place. 

To learn more about how identity security influences cyber insurance coverage and risk mitigation strategies, download the full report, “Identity Security Controls Become Non-Negotiable for Coverage,” here: https://delinea.com/resources/cyber-insurance-report-2025

About Delinea  

Delinea is a pioneer in securing human and machine identities through intelligent, centralized authorization, empowering organizations to seamlessly govern their interactions across the modern enterprise. Leveraging AI-powered intelligence, Delinea’s leading cloud-native Identity Security Platform applies context throughout the entire identity lifecycle – across cloud and traditional infrastructure, data, SaaS applications, and AI. It is the only platform that enables you to discover all identities – including workforce, IT administrator, developers, and machines – assign appropriate access levels, detect irregularities, and respond to threats in real-time. With deployment in weeks, not months, 90% fewer resources to manage than the nearest competitor, and a 99.995% uptime, the Delinea Platform delivers robust security and operational efficiency without complexity.  Learn more about Delinea on LinkedIn, X, and YouTube.