Determinants of Personal Cyber Insurance Purchase Intention in Malaysia

The recent increase in cyber threats has led to the development of cyber insurance to mitigate these risks. Both cyber insurance and personal cyber insurance emerged as the new insurance products to tackle the risks but with discouragingly low demand. This gap between what was expected, and the actual demand could be a subject worth studying. Furthermore, there is a lack of research that studies the factors influencing the purchase intention of personal cyber insurance in Malaysia. Therefore, this study aims to investigate the relationship between the dependent variables (Purchase Intention) and seven independent variables (Gender, Age, Education Level, Income, Price, Knowledge, and Risk Perceptions). This study adopts a deductive method, using primary data to conduct a cross-sectional quantitative study in Malaysia. Convenience sampling was employed with a total of 120 respondents from the Klang Valley completing the self-administered online questionnaires. The research concluded that only three independent variables: Income, Knowledge, and Risk Perceptions significantly influence the purchase intention of personal cyber insurance. Notably, income was found to have the most significant impact on purchase intention in this study. Moreover, it was observed that price is the only independent variable that exhibited a negative relationship with purchase intention. The findings of this study provide implications for insurers in developing and marketing personal cyber insurance by helping them to comprehend the determinants that affect consumers’ purchase intention. Meanwhile, the study's findings also hold implications for scholars or students engaged in future research on personal cyber insurance.