“Most companies will quickly accept the insurance provider’s first offer when negotiating cybersecurity insurance policies. Although a relatively new component of the insurance sector, providers have still been conducting cyber assessments and offers for years and are the so-called expert. However, this way of thinking costs enterprises thousands, if not millions, of dollars a year in deductibles. Despite having access to all of the necessary information, these entities don’t know how to leverage their insights to pay lower deductibles in a language insurance providers understand,” asserts this report.
The post focuses on software from Kovrr, a provider of cyber risk quantification solutions, but the general points are useful. Bottom line: If you can translate your cyber risk into financial terms, you’re in the best position to determine what coverage you actually need and negotiate the best price for it. Given the growing cost of cyber insurance, and ambiguity over exclusions, this approach seems to sure to gain popularity, including among small businesses.