Half of businesses in Australia experienced a “cyber event” in the past year, with 26% involving AI-driven attacks such as vulnerability identification, malware, phishing, deepfakes and email compromise, a QBE survey has found.

The insurer questioned 400 businesses as part of a global survey, finding Australian companies are “highly optimistic” about the potential of AI and 93% expect it to have a positive impact on their operations over the next two years.

Many are already using it to drive productivity, improve efficiency, support decision-making and enhance customer experience.

Digital risks are increasingly linked to third parties. Among businesses that experienced a cyber incident, 66% say it was related to an outside supplier.

QBE says this dynamic makes the threat more difficult to control, because there is limited visibility over how technologies are deployed and secured.

Global head of cyber services Dominic Keller says AI uptake is happening faster than some organisations can adapt their risk frameworks.

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“This is where cyber exposures can start to build,” he said. “As businesses become more interconnected, risk is shared across systems, suppliers and platforms, which means a single point of weakness can have broader consequences.”

He says strong governance, clear visibility of risk and well-tested responses are critical.

The global survey found cyber insurance uptake is strong, with 79% of businesses worldwide having cover in place.

“Cyber insurance is becoming more valuable in this context, not just as financial protection, but as a way to access expertise, strengthen preparedness and support a co-ordinated response when incidents occur,” Mr Keller said.

QBE says 85% of organisations are using AI and a further 12% are exploring its use. At the same time, AI is changing how cyberattacks are carried out.

AI is shifting from “an emerging capability to a core part of how Australian businesses operate”, but it is also turning “what was once seen primarily as a productivity and efficiency enabler into a current and increasingly complex operational challenge”, the insurer says.