Five reasons why your company needs Cyber Insurance

What is cyber insurance?  

A cyber insurance policy is designed to help your organisation with the costs involved with the recovery of a cyber-crime such as data destruction, theft or other cyber-attacks. Cyber insurance typically covers expenses related to first party and third-party claims. It also gives you access to expert consultants and IT specialists that may otherwise be out of reach.   

The threat of a cyber-attack in today’s digital world is very real. Without proper cyber-security, companies risk their sensitive data being hacked. In 2017, Debenhams, Three and the NHS were subject to cyber-attacks. If these big organisations can fall victim to these kind of attacks, small companies who have less investment in protective technology are even more at risk. According to Ponemon Institute’s survey on cyber insurance, 76% of respondents said that cyber security risks are equal to or greater than other insurable business risks.  

Here are five reasons why cyber insurance should be priority for your business. 

  1. Data breaches are costly: Cyber insurance is designed to cover your business from all the costs involved in a data breach like forensic investigations and business losses.  
  2. Cyber-attacks happen a lot: Almost two thirds of small and medium-size enterprises (SME’s) have suffered a cyber-attack. 
  3. Risk management: Cyber insurance provides protection in the event of a cyber-crime or incident. 
  4. Cyber insurance works: Nine out of ten SME’s who have cyber insurance say it covered any cyber incidents they have faced.
  5. Peace of mind: Organisations that have cyber insurance can relax knowing they have protection in the event of a cyber-crime.