Insider risks are no longer edge cases in cybersecurity. They are among the most persistent and costly threats facing organizations today. The challenge? These threats often come from trusted individuals: employees, contractors, or partners with legitimate access to internal systems.

According to the 2025 Ponemon Cost of Insider Risks Global Report, the average annual cost of insider incidents has reached $17.4 million, a noticeable increase from $16.2 million in 2023. Fortunately, organizations are improving their response time, reducing the average containment period to 81 days, down from 86 days last year.

Here are some insights you should know about:

• 55% of incidents originate from negligent or mistaken insiders, costing organizations $8.8M annually.
• Credential theft cases, usually labeled as “outsmarted insiders”, are the most expensive, at an average of $779,707 per incident.
• Malicious insiders account for 25% of incidents, with an average cost of $715,366 per incident.
• Sales, HR, and marketing staff are among the most frequently exploited by external attackers.
• Incidents resolved in under 31 days cost $10.6M, while those lasting over 91 days reach $18.7M on average.

Despite rising costs, progress is underway:

• 81% of companies now have or are planning insider risk programs.
• Companies doubled their investment in insider risk management (16.5% in 2024 compared to 8.2% in 2023)
• 65% of organizations with such programs say it’s the only strategy that enabled them to pre-empt a breach.
• 54% are using AI for early detection, with benefits including reduced investigation time and improved behavioral insights.

Insider threats, whether due to error, coercion, or intent, pose a complex risk. However, with proactive detection, behavioral analytics, and smarter investment in security programs, organizations can drastically reduce both impact and cost.