Overcoming 10 Common Objections to Cyber Insurance

Anzen 101

May 1, 2024


As an insurance broker in today's digital world, you often encounter various objections when recommending cyber insurance. In this article we’ve partnered with the Relay Platform to respond to 10 common objections that can help you communicate the essential value of cyber coverage to your clients.

1. "We have good security and a strong IT team."

Reasonable security measures and a competent IT team are essential but not infallible. Cyber threats evolve rapidly, and cyber insurance provides a critical safety net that complements your defenses by offering financial protection and recovery support if a breach occurs.

2. "We are paper-based, low exposure to digital threats."

Even businesses with minimal digital operations have some cyber exposure. Basic activities like using emails or storing digital records can make you susceptible to cyber attacks. Cyber insurance ensures you are protected against these hidden vulnerabilities.

3. "Too expensive, not worth it."

Cyber insurance costs are often significantly lower than the potential financial losses from a single cyber incident. These losses can include hefty legal fees, data recovery costs, and damage to your business reputation. Providing concrete quotes can help clients see the value relative to the risk.

4. "Our existing general policy covers cyber."

General liability policies typically offer limited cyber coverage. Educating clients on the gaps a dedicated cyber policy can fill is crucial and ensuring they have comprehensive protection against cyber threats.

5. "We are too small to be at risk."

Cybercriminals frequently target smaller businesses precisely because they tend to have weaker cyber defenses. Cyber insurance is vital as it provides small businesses with the resources to recover from attacks that could otherwise be devastating.

6. "We've had no incidents in the past, so we are not at risk."

Lack of past incidents does not guarantee future safety. Cyber insurance is a proactive measure, much like wearing a seatbelt; it's about ensuring safety before an accident occurs.

7. "We outsource IT, so they are responsible for incidents."

While outsourcing IT can offload some operational burdens, it does not transfer all the risks associated with data breaches. It is crucial to have cyber insurance to cover potential liabilities for which your business remains accountable.

8. "We have a backup system and don't need insurance."

While robust backup systems are excellent, they do not cover all aspects of cyber risk, such as customer notification costs, legal fees, and potential fines. Cyber insurance provides comprehensive coverage beyond mere data recovery.

9. "We don't store any sensitive customer data."

Cyber risks extend beyond sensitive data. Any data breach can lead to operational disruptions and financial liabilities, making cyber insurance essential for all data types.

10. "We have a strong legal team to handle it."

Having a solid legal team is beneficial for dealing with the consequences of a cyber breach, but managing the financial impacts requires cyber insurance. It helps cover the extensive costs of legal defense and settlements.


Understanding and addressing these common objections can help your clients see cyber insurance as an option and an integral part of their risk management strategy. At Anzen, we offer tailored cyber insurance solutions backed by our cutting-edge technology and exceptional customer support. Our team is dedicated to providing you with the tools and information you need to secure the best possible coverage for your clients. 

For more detailed information on how tailored cyber coverage can benefit your clients, contact our team at Anzen. We'll help you navigate the complexities of cyber insurance to ensure your clients are fully protected.

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Content in partnership with Relay Platform.

The modern marketplace for Executive Risk insurance

© Anzen Technologies, Inc

Anzen Insurance Solutions LLC

CA License 6004358

The modern marketplace for Executive Risk insurance

© Anzen Technologies, Inc

Anzen Insurance Solutions LLC

CA License 6004358

© Anzen Technologies, Inc

Anzen Insurance Solutions LLC

CA License 6004358

The modern marketplace for executive risk