2026-09-17 · Source: Risk & Insurance Magazine
Summary in 3 Points • Beazley's survey reveals 58% of digital health executives expect business contraction, contrasting with 88% growth expectation in 2024 • Generative AI use in digital health is expanding, with 81% of executives planning to increase its use in patient treatment • Cyber threats and data theft are top concerns, with 32% of executives citing them as leading risks, impacting claims and liability --- Beazley's 2026 Digital Health & Wellness survey indicates a significant shift in the digital health sector, with 58% of executives expecting business contraction over the next year, a stark contrast to the 88% who anticipated growth in 2024. This change reflects a sector moving from rapid growth to a focus on governance and resilience. The survey, involving 600 executives from the U.S., Canada, U.K., Singapore, Italy, and Spain, also highlights a rise in confidence regarding insurance needs, with 80% of executives now understanding their insurance requirements, up from 43% in 2024. Additionally, the use of generative AI is expanding, with 81% of executives planning to increase its application in patient treatment and 77% in diagnosis. For the **London Insurance Market**, these developments in the digital health sector have direct implications for **cyber insurance** and **professional liability** lines. Beazley's findings underscore the growing importance of managing digital risks, particularly as cyber threats and data theft become primary concerns for 32% of executives. The London Market, with its expertise in **cyber risk** and complex liability coverages, is well-positioned to address these evolving needs. Furthermore, the increased use of **generative AI** and **robotics** in healthcare services could lead to new liability exposures, necessitating tailored insurance solutions that London underwriters are adept at providing. **Underwriters** and **brokers** in the London Market should prioritise understanding the implications of expanding AI and digital technologies in healthcare. As cyber threats and data breaches remain top concerns, there is a need for robust cyber policies that address these risks comprehensively. Additionally, with fast, reliable claims payment becoming a key purchasing factor, insurers must ensure their claims processes are efficient and responsive. **Risk managers** should also focus on compliance with regulatory requirements, particularly in jurisdictions with complex privacy laws, to mitigate potential legal exposures.