Don't Wait for a Breach: Why now is the time to review your Cyber Insurance
Cyber threats against Australian businesses are intensifying and evolving quickly in 2025. Financially motivated attacks continue to rise, and business email compromise remains the most common threat, with 75% of attacks bypassing multi-factor authentication¹. Additionally, espionage-related incidents are taking longer to detect.
The good news is that the cyber insurance market is evolving alongside these threats; premiums are becoming more competitive, coverage options are broadening to include protections like Dependent Business Interruption, and more insurers are entering the market, increasing capacity and choice. There's no better time for businesses to secure a policy or review their current cyber insurance.
A more competitive market
After years of rising premiums, the Australian cyber insurance market is beginning to soften. Increased capacity from domestic and international insurers, along with strategic partnerships, has introduced more competitive pricing and broader coverage options. Businesses that are proactive in implementing robust cybersecurity measures are particularly well-positioned to benefit from reduced premiums.
Read: [Top 5 reasons businesses need Cyber Insurance]
Evolving coverage options
Cyber insurance policies are evolving to reflect real-world risks. Many now include Dependent Business Interruption coverage, which protects businesses from financial losses caused by outages or disruptions at third-party providers. Attacks such as credential theft, ransomware, and Business Email Compromise are on the rise, and these can affect not only your own systems but also those of your critical suppliers, service providers, or partners. Ensuring your coverage aligns with these emerging threats is therefore essential to safeguard your business against both direct and indirect losses.
Read: [Lessons from the Crowdstrike global meltown]
New threats on the horizon
Cybercrime now spans more than just ransomware and phishing, with espionage-style attacks becoming increasingly common. These campaigns are often carried out by well-resourced hackers who can remain undetected for an average of over 400 days, much longer than the 24 day average for financially motivated attacks. Healthcare and financial services are among the most targeted sectors, but any organisation reliant on digital systems or third-party providers could be affected. With cyber threats growing more sophisticated, it's crucial that your cyber insurance matches the evolving risk environment.
Insurers taking a more proactive role
In response to the growing threat landscape, more insurers are beginning to offer proactive cyber security support alongside traditional cover. This can include access to incident response experts, AI-driven monitoring tools, and advisory services to help businesses identify vulnerabilities before they are exploited. While some of these services have been available in the past, they are now becoming more common and more sophisticated. The shift reflects a recognition that prevention and resilience are just as important as financial recovery when it comes to protecting businesses from cybercrime.
Read: [Could your business survive a cyber-attack?]
Don't wait for an attack to consider cover
Despite the growing prevalence of cyberattacks, many Australian businesses remain uninsured or underinsured. Without up-to-date policies, organisations face exposure to financial loss, reputational damage, and operational disruption. The current market conditions with competitive premiums, broader coverage options, and more insurers entering the market, make now the ideal time to act. If your business hasn't reviewed its cyber insurance recently or doesn't yet have a policy, now is the time to reach out to your broker.
How Coverforce can help
Coverforce brokers can guide you through the options and help secure a policy that fits your business needs with ease and confidence. Contact us today and safeguard your business for the future.
REFERENCES
- 1. https://cybercx.com.au/news/cybercx-2025-threat-report-media-release/#:~:text=CyberCX%2C%20Australia%20and%20New%20Zealand's,that%20e
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