Cybercrime is growing rapidly and is increasingly affecting SMEs. While large companies may be in the news more often, smaller companies are at great risk. A stolen laptop, a hacked mailbox or a phishing email that is accidentally clicked: the consequences can be enormous.
Figures from the Data Protection Authority show that the number of data breaches and successful cyber attacks rose sharply in 2024. Cybercriminals are getting smarter and getting results more often. Think of ransomware, where data is held hostage and only released after payment. In more than half of the attacks, data is actually stolen.
For an SME, this often means major damage. The costs of a data breach quickly reach tens of thousands of euros, with an average of one tonne of damage. Examples include ransom payments, hiring external IT specialists, legal help and loss of turnover due to downtime. In addition, reputational damage can cause loss of customers.
Not every incident is an outside attack. A data breach can also occur due to a simple error. For example, if a laptop is left unsecured on the train or customer data is accidentally sent to the wrong recipient. In both cases, you must report the data breach to the Data Protection Authority and inform affected customers. Without insurance, you bear all costs yourself.
A hack or data breach affects your entire company, not just your IT department. Possible consequences are:
- Obligation to report to the Data Protection Authority
- High fines (up to 4% of your annual turnover)
- Repair and research costs
- Legal support
- Loss of turnover due to downtime
- Reputational damage and customer loss
After taking out business cyber insurance, you are not alone. Such insurance not only covers damage, but also gives you immediate access to help. Think about:
- Hack and data breach help from IT experts and lawyers
- Reimbursement of data breach costs, such as research and repair
- Support with communication and legal obligations
- Get back to business faster
In addition, you can also insure phishing with cyber insurance. These types of attacks — where employees are misled via email — are the most common and often cause the most damage.
The costs of cyber security insurance depend on the size of your company, the sector in which you operate and the risks you run. For an SME entrepreneur, this is often more affordable than expected. And we see in practice: the premium almost always outweighs the possible damage.
Hint! Cyber insurance has become more accessible in recent years. For example, premiums have fallen and the acceptance conditions have been relaxed. So there is a good chance that it is now interesting to take out cyber insurance for your company. Especially if you deliberately did not take out SME cyber insurance a few years ago because of the costs.
Of course, prevention is better than cure. This includes strong passwords, two-step verification, regular updates, and employee training. However, you can never rule out all risks. That is why cyber security insurance for SMEs is an indispensable safety net.
A data breach or hack is not a technical problem, but a serious business risk. Especially for SMEs, where margins are small and reputation has a lot of value. With the right precautions and good cyber insurance, you can limit the consequences and you can continue to do business with confidence.
Do you want to know which cyber insurance suits your company? Or are you unsure whether you are properly insured now? Please contact Van Loon. With one of our 13 locations in and around Breda, Leiden, The Hague and Rotterdam, we are always around for your cyber security insurance.
We help you insure against cyber risks today and find the right coverage. This way, you are well prepared, even if things go wrong.
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