Many large enterprises are adopting cyber insurance to mitigate potential damages from cyberattacks and breaches in response to increased cyber threats. This shift is also driven by the need to comply with evolving regulations and the prospect of facing higher fines related to cyber incidents. Small and medium-sized enterprises (SMEs) lag in adopting cyber insurance but have become bigger targets for cybercriminals. Most SMEs only seek cyber insurance after being breached or have suffered a cyberattack. However, SME cyber leaders and business owners must understand what cyber insurance entails, assess its need, and prepare security measures to safeguard their digital assets and potentially reduce insurance premiums.
Growing Cyber Risk to SMEs
SMEs are becoming prime targets for cybercriminals. Since SMEs have fewer resources to allocate to cybersecurity efforts, criminals assume they will have weaker security measures, which makes it easier for them to …