5 innovative cyber insurance products for SMEs

SME Banking
15/09/2022 Article
profile picture of Leandro Seligmann

Leandro Seligmann

Qorus

Strategic Initiatives Coordinator

As digital risks evolve, so must insurance offerings.

Although SMEs were historically off cyber criminals’ radars, that has dramatically changed over the course of recent years. As organizations with 500 or fewer employees are expected to expand their market size to over $50b in the next five years, the levels of hacker scrutiny to which they are subject have likewise escalated. A Verizon report on data breach investigations has found that 61% of all SMEs reported at least one cyber-attack during the previous year.

As over two-thirds of SMEs have their own active website, a number of them are being attacked at least a few times every day. The Federation of Small Businesses found that there are 10,000 attacks each day on small businesses in the UK, which costs these businesses an estimated £4.5 billion yearly. Over the last three years, American insurer Coalition has seen a 57% uptick in claims targeting SMEs.  

The British government estimates that 80% of attacks could be prevented with simple measures – yet the majority of SMEs, schools and small charities are often left behind when it comes to cybersecurity. They struggle to protect themselves adequately against the key threats facing their organizations due to a variety of reasons – being considered too small by the typical consultant, unable to afford expensive tools or hire security experts to help them bolster their security defenses, etc.

In light of this unfavorable paradigm, several insurers have developed cyber insurance coverage that specifically caters to the needs of SMEs:

Coalition’s Active Cyber insurance

Coalition’s solutions are purpose-built with SMEs in mind, aiming to empower businesses with limited IT resources to access the cyber protections they need. Unlike legacy insurance and insurtech companies, Coalition’s Active Risk Platform aggregates and analyzes near real-time data from every internet-addressable device inside a company, scanning a policyholder’s assets from the inside out to identify potential vulnerabilities. 

Want to keep reading?

Create a web account to get access to more insights

Related news & insights

SME Banking
05/02/2025 Article

Celebrating excellence in SME banking: The 2025 awards & community

If you want to showcase your excellence in SME banking, participating is simple and free of charge. Just complete the...

Digital Reinvention
05/02/2025 News

Banco Sabadell enhances digital banking with real-time transaction geolocation

By integrating Snowdrop’s MRS API technology, Banco Sabadell enables its customers to view the precise locations of their card transactions...

Mobility
03/02/2025 News

Roadzen integrates DeepSeek R1 into MixtapeAI, advancing AI for insurance and mobility

This move enhances MixtapeAI’s capabilities with advanced reasoning and ensures strict data sovereignty, reinforcing Roadzen’s commitment to secure, intelligent automation.

Digital Reinvention
03/02/2025 News

NAB and Amazon introduce PayTo for seamless, secure payments

The integration allows shoppers to make purchases directly from their bank accounts, eliminating the need to enter card details at...

SME Banking
30/01/2025 Study

From insights to impact: The journey towards unified services in SME Banking

Discover the transformative power of unified services in SME banking. In the third and final installment of our series, we...

Digital Reinvention
30/01/2025 Article

Financial Innovation Spotlight – January 2025 edition

In this month’s Financial Innovation Spotlight, we zoom in on five exciting new projects by Atom, Revolut, Crédit Agricole's Khome,...

Insurance
29/01/2025 News

Generali Partners with MIT to drive AI innovation in insurance

This partnership aims to explore practical applications of artificial intelligence (AI) in the insurance sector, strengthening Generali’s competitive edge.

Digital Reinvention
21/01/2025 News

Revolut introduces in-app phone support to combat fraud

This new functionality aims to provide a secure communication channel between customers and Revolut’s support team.