Modern businesses rely on cloud storage, connected digital devices, and online apps to serve their clients. As an insurance broker, you likely recognize that while these technologies drive business operations, they also increase vulnerability to cyber crime, making Cyber Insurance a necessity for your clients.
Helping your clients understand cyber risks and Cyber Insurance policy jargon can be challenging. But when you partner with a leading wholesale Cyber Insurance broker like ProWriters, you have all the resources needed to succeed in your role.
What Is a Cyber Insurance Broker?
Every organization has unique risks and exposures, and there is no single solution for Cyber Insurance. For example, a small retail business might need coverage just for customer payment breaches, while a large healthcare organization demands broader protection for patient data, regulatory fines, and ransomware.
Wholesale Cyber Insurance brokers, like ProWriters, help retail insurance brokers like you find the right coverage for your clients in a complex insurance market. With our expertise and connections to top insurance carriers, we can help you offer specialized lines of coverage for your clients. Our intuitive Digital IQ Platform makes the process easy, generating policy quotes within minutes.
Here’s how partnering with a Cyber Insurance broker like ProWriters can help businesses improve their risk management strategy and maximize their investment:
- Assess Risks: Most organizations need help understanding their cyber risk profile. By partnering with us, you can better assess your client’s digital infrastructure and identify the associated risks. Then, after evaluating your processes and operations, they’ll recommend the best coverage to address your exposures.
- Adapt to Change: Cyber Insurance is rapidly evolving with rising demand and new risks. ProWriters stays ahead of these changes, providing timely updates, helping you match your clients with the right policies, and negotiating the best coverage terms.
- Provide Resources: As your Cyber Insurance broker, we provide the guidance and resources your client needs to promote a strong cyber security culture within their organization and implement the best practices.
Why Is Cyber Insurance Important?
Any business connected to a digital network risks costly cyber attacks. New research from IBM and Ponemon Institute shows the global average cost of a data breach in 2024 is $4.88M—up 10% from the previous year. Furthermore, companies using security AI and automation saved an average of $2.22M compared to those that didn’t.
Cyber Insurance helps businesses cover the costs of cyber crime and get back on track. Unfortunately, some of your business clients may not recognize this advantage for the following reasons:
1. They Don’t Think They’re a Target
While the data breaches, ransomware events, and cyber crime incidents we hear about in the news often center around large corporations, small to midsize businesses are the more common targets. Hackers tend to focus less on target companies and more on specific vulnerabilities that have a higher success rate.
2. They Don’t Understand the Costs of a Data Breach or Other Cyber Event
Many business owners aren’t familiar with their exposure or just how devastating the aftermath of an attack can be. As the rate of cyber attacks increases, the financial consequences of these cyber threats rise as well, including:
- IT forensic costs
- Breach notification costs
- Credit monitoring costs
- Ransomware events
- Business interruption
- The cost to rebuild
- Crisis management costs
- Third-party claims related to breach of PII
- PCI fines and penalties or assessments
3. They Don’t Understand What Cyber Insurance Offers
Many business owners believe Cyber Insurance policies aren’t worth the expense because they don’t provide much coverage. In a cyber attack, they believe that their business will still be on the hook for many of the expenses. However, ProWriters’ cyber products are comprehensive and cover most cyber attack costs.
As their cyber broker, you’ll need to explain that the cost of an attack could be enough to put them out of business. About 60% of small companies go out of business within six months after experiencing a data breach. Given the risk, they simply can’t afford to go without coverage.
Find the Right Cyber Insurance Policy by Partnering with ProWriters
The evolving cyber risk landscape poses significant threats to growing businesses. The right Cyber Liability Insurance broker can help you find coverage that fits your specific risks.
At ProWriters, our Cyber brokers have built relationships with the best insurance companies in the industry so that you can get the best coverage options. Connect with us today to learn more!