In this digital age, it’s never been more essential to have the right cyber insurance in place. It’s hard to think of a business that does not have some kind of online presence or uses a computer in some form at some point. There are many misconceptions about cyber insurance and more than that, it is largely misunderstood. 

  

What is cyber insurance? 

Cyber insurance covers your business from threats such as data breaches, including sensitive information, cyber-attacks, and hacks on your computer systems. 

  

What does cyber insurance cover? 

A good cyber insurance policy can cover you against the costs of investigating cybercrimes, restoring stolen or lost data, restoring, or replacing damaged computers and other affected hardware, damage to your business’s reputation, extortion payments demanded by hackers, and costs of notifying affected third parties, loss of income and legal costs if your customers decide to take you to court.     

  

  

  

Myth 1 

  

You don’t need cyber insurance because your business has invested in IT security.  

  

No matter what systems you have in place your business is never 100% safe from cyber-attacks and if they occur the costs can spiral to eye-watering levels. Hackers and cyber-attacks are constantly evolving and finding new ways to destroy your business. 

  

  

Myth 2 

  

You don’t hold any sensitive information therefore you don’t need cyber insurance. 

  

Cyber-attacks are not all about sensitive information you may or may not hold about clients or customers. It can be as much about damage to your systems or fraudulent funds transfers. Cyber insurance covers you against the interruption of your business.  

 

 

Myth 3 

  

Your business is too small to be targeted. 

  

Hackers are not choosey and small, medium-sized and large businesses to organisations and charities are all targets. According to the cyber security breaches survey released in April 2023, there were approximately 2.39 million instances of cybercrime in 12 months.* In essence cyber attackers target the vulnerable not just the valuable. 

 

 

 

Myth 4 

  

Cyber insurance is already covered by other existing policies.  

  

There may be some common ground in certain areas of your insurance policies, which is why it is vital that you speak to your broker and get the details of your coverage right. Leaving your business, company, or organisation vulnerable is like leaving the front door of your premises open, and the cost of spending a bit more time with your broker could prevent potentially millions in costs.   

  

 

Myth 5 

  

Cyber insurance is expensive.  

  

With many businesses taking out cyber insurance the costs of a premium have become competitive. A premium will be based on many factors from the risk class of the insured, revenue, and business sector to the type of coverage. The cost of cyber insurance is extremely low compared with the potentially astronomical levels of turnover that could be lost due to your business grinding to a halt. Worse still being wiped out. If you are a business owner, the last thing you want is for years of hard work to be destroyed in seconds.  

  

  

Get a quote and tailor your cyber insurance policy perfectly to all your business needs with our expert team today.     

 

 

 GOV.UK*