Irish Businesses Face Rising Cyber Threats and a Hidden Human Cost The Hiscox Cyber Readiness Report 2025 reveals that 40% of Irish businesses suffered at least one cyber attack in the past year, with far-reaching consequences beyond financial and reputational damage. The study, now in its ninth year, surveyed 500 Irish firms and highlights the escalating risks posed by AI-driven threats and persistent ransomware campaigns. Among affected companies, 36% experienced DDoS attacks, disrupting operations, while 31% reported material financial losses and 28% struggled to attract new customers. However, the fallout extended to employees, who often serve as the "human firewall" in cybersecurity. 33% of firms noted heightened staff stress, 31% cited burnout, and 23% saw a rise in sick leave post-attack. Alarmingly, 25% of employees described their workplace as "toxic" in the aftermath. Despite the strain, some organizations reported silver linings: 38% observed stronger employee loyalty, and 33% saw improved teamwork following an incident. Ransomware remains a critical threat, with 70% of victims paying ransoms yet 35% still had to rebuild systems, and 29% suffered data leaks regardless. AI presents a dual challenge: 62% of firms view third-party AI tools as a major vulnerability, while 66% see AI as an asset rather than a liability. While 56% of Irish businesses believe their cyber resilience has improved, one in four plans to significantly boost cybersecurity investments by 2026. The findings underscore the growing complexity of cyber threats and their ripple effects on workplace culture.

Cyberattacks in Ireland Take Heavy Toll on Employees and Businesses, Hiscox Research Finds A recent survey by insurance provider Hiscox reveals that cyberattacks on Irish businesses over the past year have inflicted significant human and financial costs beyond technical disruptions. Of 500 companies surveyed, 40% reported experiencing a cyberattack in the last 12 months, with lasting effects on employee well-being and organizational resilience. The fallout extended far beyond system breaches. 25% of employees described their workplace as "toxic" post-attack, while 31% reported burnout and 33% cited high stress levels. Increased sick leave (23%) further strained operations, underscoring the psychological and operational strain on staff often referred to as the "human firewall." Despite these challenges, 38% of businesses observed heightened employee loyalty, and 33% noted improved camaraderie, suggesting that well-managed crises could foster resilience. Financially, the impact was severe. 31% of affected companies reported material damage to their financial health, while 28% struggled to attract new customers. DDoS attacks where attackers overwhelm servers to force systems offline accounted for 36% of incidents, disrupting operations. Ransomware remained a persistent threat, with 70% of targeted businesses paying ransoms to prevent data leaks. However, outcomes were often poor: 35% still had to rebuild systems despite receiving decryption keys, and 29% saw their data leaked regardless. AI emerged as both a risk and an asset. 62% of businesses identified third-party AI tool vulnerabilities as a major emerging threat, yet 66% viewed AI as more beneficial than dangerous. In response, 42% plan to invest in AI-related security measures, and 38% are ensuring cyber insurance policies cover AI risks. Despite persistent threats, 56% of companies believe their cyber resilience has improved over the past year, with 25% planning significant investments in cybersecurity and data protection in the coming year. Hiscox Ireland’s Stephen Donaldson emphasized the need for proactive planning, noting that while ransomware payments often fail to deliver promised recoveries, preparation and incident response strategies remain critical to mitigating long-term damage. The findings highlight the dual challenge of defending against evolving cyber threats while safeguarding workforce stability.