AXIS Capital report shows executive divides on AI risk and cyber preparedness

Core Insights - AXIS Capital Holdings Limited has published research on how artificial intelligence (AI) is transforming the risk environment, based on insights from CEOs and CISOs [1][3] Group 1: AI's Impact on Risk and Cybersecurity - AI is recognized for enhancing data analytics, innovation, and operational efficiency, while also introducing new risks [4][5] - The dual nature of AI as a productivity enhancer and a source of unprecedented risk is emphasized as central to modern cyber risk [5] - AI strengthens cyber defense tools but also empowers cybercriminals, creating new vulnerabilities [6] Group 2: Survey Findings on AI Threats - AI-driven attacks are the leading concern for 29.6% of US respondents and 20.8% of UK respondents [7] - A generational divide exists, with only 23.1% of executives aged 55 and over believing AI will enhance cyber defenses, compared to 77.4% of leaders aged 35–44 [8] Group 3: Regional Differences in AI Preparedness - There is a notable contrast between US confidence and UK caution regarding AI threats, with 85% of US leaders feeling prepared compared to 44% of UK leaders [9] - 88.4% of US CEOs believe AI will strengthen protections, while only 55% of UK CEOs share this view [9] Group 4: Return on Investment and Cyber Insurance - In the US, 93.5% of CEOs and 87.5% of CISOs believe AI delivers ROI in cybersecurity, compared to 69.1% of CEOs and 74% of CISOs in the UK [10] - 94% of US respondents carry cyber insurance, while only 68.4% of UK respondents do [10] Group 5: Perspectives of CEOs vs. CISOs - CEOs view AI as a lever for productivity, while CISOs associate it with increased exposure [11] - 60.2% of CEOs feel better prepared than peers for AI-related threats, compared to 50.6% of CISOs [12] - CEOs identify data leakage as the primary AI-related threat (28.7%), while CISOs rank shadow AI as the top risk (27.2%) [12] Group 6: Trust and Concerns in AI Decision-Making - In the US, 31.2% of CEOs and 27.7% of CISOs cite AI-driven attacks as their greatest concern, while in the UK, the figures are 22% for CEOs and 19.7% for CISOs [13] - Trust in AI decision-making tools among UK CEOs is mixed, with 49.6% expressing trust and 37.4% expressing distrust [13] Group 7: Strategic Tension in Organizations - The findings highlight a strategic tension between the optimism of CEOs regarding AI and the caution of CISOs regarding security [14] - CEOs champion AI as a catalyst for innovation, while CISOs view it as a new frontier of exposure [14]