Cyberattacks Cost Continental Europe’s Largest Economies €307B Over 5 Years: Howden

Cyberattacks cost companies in continental Europe’s four largest economies – France, Germany, Italy, and Spain – more than €300 billion (US$405.5 billion) in the past five years, according to a Howden survey.

Nearly half (49%) of companies surveyed reported at least one cyber attack between 2020 and 2025, equating to more than €307 billion in direct costs, said the report. (UK companies were not included in this survey).

As a result, Howden said building cyber resilience, via broader adoption of basic cyber security and insurance, is critical for companies.

“By extrapolating the impact that cyber insurance and risk controls have on reducing attack frequency and severity across France, Germany, Italy and Spain, Howden’s analysis shows that total cyber-related costs could fall by 66%, a reduction of €204 billion [US$275.7 billion] over the period of 2020-25,” the report said.

Most of the resulting savings – €112 billion (US$151.4 billion) – emanate from reduced severity, with the remaining €92 billion (US$124.3 billion) attributed to lower attack frequency, Howden added.

Despite the costs of cyberattacks, more than 70% of surveyed businesses in the four countries remain uninsured against cyber risk, which highlights the scale of the protection gap in the region, said Howden, noting that the number of businesses that are uninsured for cyber in the United Kingdom is lower — at 61%.

Even before accounting for claims recoveries, insured companies incur lower costs following a cyberattack due to stronger governance and risk management best practices, the report continued.

A company with €500 million ($675.8 million) in annual revenue could save €16 million ($21.6 million) over 10 years by holding a cyber insurance policy, the report said. “This equates to a 19% return on investment, driven by reduced attack severity, more than offsetting the cost of cover. Claims payments in the event of a loss further enhance returns.”

Howden emphasized the importance of growing the cyber insurance premium pool in the current softening market cycle.

“Rate reductions have accelerated over the last 12 months, with global pricing now 22% below the mid-2022 peak [see Figure 1 below],” the report said.

“This trend has been driven by increased underwriting capacity, as insurers commit to a class that offers a strong track record of profitability. The most pronounced downward pricing pressure has been observed in international markets, where rates have declined by 12% since January 2024, compared to a more modest 5% drop in the US,” Howden added.

Methodology

Howden analyzed a YouGov survey of 1,248 senior IT decision-makers representing business across Germany, France, Italy and Spain. Fieldwork was undertaken July 24 to August 9, 2025.

Source: Howden

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Europe