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Why now is the time to take cyber insurance more seriously

Safeguarding your assets, your people and your customers.| 3 minute read

As cyber threats grow in scale and sophistication, businesses must move beyond outdated mindsets, using cyber insurance to mitigate risk, enable faster recovery, and ensure resilience against increasingly advanced digital attacks.

Key takeaways

1. The majority of UK businesses remain uninsured, leaving them exposed as cyber threats grow in frequency and complexity.
2. Companies with cyber insurance recover from attacks up to 50% faster, reducing disruption and financial loss.
3. Cyber insurance cover is more affordable than many think, with premiums tailored to business size, sector, and risk.


Why does cyber insurance matter?

Despite its importance, many businesses still don’t see the value of cyber insurance, viewing it as just another expense. However, for the sake of your business and people, it’s your duty to help change the narrative in your organisation.


20%

An estimated 20% of businesses have been targeted by at least one cyber crime in the past year.

Source: Gov UK, Cyber security breaches survey 2025


8.58m

UK businesses experienced an estimated 8.58 million cyber crimes of all types in the last 12 months.

Source: Gov UK, Cyber security breaches survey 2025

Cyber insurance is designed to protect your business against financial losses resulting from a range of cyber threats and exposures by helping cover business interruption losses caused by cyber events, cybercrime, and privacy breaches.

The value of cyber insurance to businesses is clearer than ever 

Super high-tech advancements like AI are now accessible to everyone with an internet connection. This means the tactics and methods modern cybercriminals have at their disposal are becoming almost impossible for business like yours to detect. 

“Only global businesses are targeted by cybercriminals”

Wrong - the success of cybercriminals relies on you having this mindset. It’s what makes you not see the need to invest in cyber insurance, that leaves leaving you even more vulnerable. The large-scale incidents are the ones we hear about on the news, but over 60% of UK businesses that suffer from cyber security attacks are actually SMEs.⁶

How much will cyber insurance cover cost your business?

In short, it depends on a number of factors, such as your business’ size or industry. However, cyber insurance has proven to be a very cost-effective way to transfer cyber risk; it can mean the difference between a quick recovery following a cyber event and a catastrophic or business-endangering loss. 

Buying a cyber insurance policy doesn’t mean the work stops there

As your business evolves, so will its cyber coverage needs, and you don’t want to find out the hard way that your business is underinsured. By reviewing your cyber coverage and compliance obligations every year, you ensure your policy remains fit to fight your corner, should the worst happen.

The large-scale incidents are the ones we hear about on the news, but over 60% of UK businesses that suffer from cyber security attacks are actually SMEs⁶.

JP Allcock
Managing Director, Commercial Insurance - NFP Europe

Want to see how we can help?

No matter the industry you operate in, you will have some sort of reliance on technology for the effective day-to-day running of your business. That’s what makes cyber insurance so important; every company has some level of vulnerability that cyber criminals can exploit.


General disclaimer

This insights article is not intended to address any specific situation or to provide legal, regulatory, financial, or other advice. While care has been taken in the production of this article, NFP does not warrant, represent or guarantee the accuracy, adequacy, completeness or fitness for any purpose of the article or any part of it and can accept no liability for any loss incurred in any way by any person who may rely on it. Any recipient shall be responsible for the use to which it puts this article. This article has been compiled using information available to us up to its date of publication.


NFP contributors

John Allen
Senior Account Executive

JP Allcock
Managing Director, Commercial Insurance - NFP Europe



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