In a survey involving 1,000 US business owners, Gallagher found widespread concern about external risks affecting operations over the next year.
The survey reported that 72% of respondents are concerned about cyberattacks, 69% about supply chain disruptions, and 69% about severe weather events.
Nearly 87% of U.S. business owners with insurance coverage filed a claim in 2024. Among these, 73% had claims of $25,000 or more. The claims most frequently fell under property (29%), employment practices liability (28%), cyber (27%), and flood (27%) insurance policies.
Gallagher’s analysis also indicated a rise in business interruption risks linked to inflationary pressures and increased incidents of cargo theft. These developments have created additional vulnerabilities, particularly for businesses reliant on complex logistics networks, heightening the need for comprehensive risk management strategies.
The survey noted a rise in apprehension about cyber risks. In 2025, 72% of business owners expressed concerns about cyberattacks, up from 69% in 2024. In response, 36% of respondents indicated they are considering acquiring or expanding cyber insurance coverage.
Between 2021 and 2023, the number of supply chain cyberattacks surged by 431%, according to Gallagher data. This trend highlights the growing threat that supply chain vulnerabilities pose, not only from traditional disruptions but also from cybersecurity breaches that can impact interconnected suppliers and service providers.
In addition to these concerns, Gallagher’s research also found that 90% of US business owners are paying close attention to the impact of tariffs on their businesses. Tariff-related supply chain challenges are emerging as another factor contributing to operational uncertainty, further complicating business continuity planning for many companies.
Artificial intelligence (AI) has also emerged as a growing concern. The survey found that 93% of U.S. business owners are at least somewhat concerned about AI affecting their businesses in the coming year, compared to 85% last year.
A majority of respondents believe that AI misuse requires stronger regulation (95%) and improved protections (90%). Despite these concerns, 46% plan to increase investment in AI technologies to improve business operations.
In line with these findings, Gallagher reported that nearly two-thirds of companies have been testing AI technologies over the past year.
Supply chain issues remain a significant risk, with 75% of business owners reporting that they have contingency suppliers in place. Investments in supply chain resilience include technologies such as artificial intelligence and machine learning (40%), supply chain automation (37%), and cloud computing (37%). Last year, 68% of business owners voiced concerns about supply chain disruptions.
J. Patrick Gallagher, Jr. (pictured above), chairman and CEO of Gallagher, said advanced mitigation strategies are now essential for managing global risks.
“Supply chain disruptions can happen anytime, anywhere, and can cripple operations without proactive planning and risk modeling. By investing in resilience now, businesses can reduce downtime, protect their bottom line, and ensure long-term continuity in the face of uncertainty,” Gallagher said.
Severe weather is another area of concern. More than half of business owners (57%) reported considering relocating their businesses or investing in more resilient facilities to mitigate weather-related risks. Of those considering relocation, 44% would stay within the same state, another 44% would move to a different state, and 11% would relocate to a different region.
Flooding was cited as a primary weather threat by 35% of respondents, either as a direct risk or one affecting suppliers. However, only 30% of business owners currently have flood insurance.
Among those with coverage, 71% have made at least one claim, and 27% have filed multiple claims. Of those without flood insurance, 80% indicated they are likely to purchase coverage within the next year.
Following weather-related claims, many business owners have taken steps to fortify their properties against various conditions, including floods (40%), fires (39%), wind (37%), hurricanes (32%), and hail (31%).
“Business owners know from experience that they’re up against unprecedented risks, and cannot face them alone,” Gallagher said. “Working with the right partner to identify and mitigate these risks will help them see the most success and proactive resilience planning, such as infrastructure upgrades, to truly safeguard their operations.”
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