One question insurance carriers are often asked by individuals and businesses is what will the cost of my cyber insurance be if I add all the recommended security controls? The answer will depend on the size of the organization, the level of risk the industry poses, and what other security solutions are required to qualify for insurance. At the end of the day, this is perhaps not the right question to be asking. 

The more valuable question would be; can I afford not to have cyber insurance and to not have these controls in place in the event of a cyber incident? For many organizations, the risk of having to deal with the consequences of a data breach or a ransomware attack on the businesses’ reputation and balance sheet is too great. And not to mention more costly than the insurance premium and/or the price for putting security measures in place.  

When managing any type of risk, businesses need to look at all components that go into it, such as the likeliness of an attack, what the impact would be, and the total cost of mitigating that risk. From the premium standpoint, it ends up being the false choice. If your business is focused on security measures and staying protected, your cyber insurance terms and pricing will reflect that.