Cyberattacks don’t come with a warning. When they strike, the fallout can be swift and severe, causing days (or even weeks) of disruption, legal headaches, regulatory scrutiny, and reputational damage. That’s why many businesses turn to cyber insurance to help cover the financial and operational impact of an attack.
But here’s the catch: having a policy doesn’t guarantee a payout. Insurers increasingly expect businesses to meet a minimum standard of cybersecurity hygiene before honouring claims. And if you can’t demonstrate that you were properly prepared, you could be left footing the bill.
At Nexus, we help businesses not just secure cover but stay claim-ready; aligning your IT resilience with insurer expectations so you’re protected when it matters most.
Why Cyber Insurance Matters
The UK government’s Cyber Security Breaches Survey 2025 paints a clear picture:
- 1% of all UK businesses suffered a ransomware attack in the past year—around 19,000 companies.
- Phishing remains the #1 threat, accounting for 93% of incidents.
- Only 43% of businesses have cyber insurance, and just 8% hold a dedicated cyber policy (as opposed to a bolt-on to general insurance).
And the costs? While the average cybercrime-related loss is reported at £990, more serious breaches regularly exceed £8,000, a figure that can quickly spiral when factoring in downtime, legal fees, and reputational damage.
Why Claims are Often Denied
Even with cover in place, many businesses are finding their cyber claims rejected. Why? Insurers dig deep into your security posture pre-breach. Common red flags include:
- No multi-factor authentication (MFA) on key accounts
- Outdated or unpatched systems still in use
- Poor documentation or missing audit trails
- No formal incident response plan in place
- No User Security Awareness Training
With cyber insurance premiums rising (up ~10% in the retail sector) and insurers pulling out of high-risk markets altogether, scrutiny has never been tighter.
One Breach, Tenfold Premiums
Something else to note; if a UK business has suffered a cyber breach within the past five years, it’s quite possible that its annual cyber insurance premium could increase tenfold, compared to a similar company with a clean history. This steep jump reflects how insurers heavily penalise a breach on record.
A past incident signals higher future risk, which underwriters price accordingly. In practical terms, a firm paying around £1,000 annually for a clean profile might find itself paying £10,000 or more after underwriting more closely reflects its breach history.
Cyber Essentials: A Baseline That Insurers Trust
GCHQ’s NCSC recently highlighted that only 35,000 UK firms hold Cyber Essentials certification, despite it cutting insurance claim risk by up to 92%.
Cyber Essentials focuses on five key controls; secure connections, device configuration, access control, malware protection, and patching. These address 80% of the most common attacks and are increasingly seen by insurers as proof that a business takes cybersecurity seriously.
Some insurers now even offer lower premiums or mandate certification as a condition of cover. Without it, you may pay more, or worse, find yourself uninsurable.
How Nexus Helps
We don’t just tick boxes; we build security that insurers (and auditors) actually trust. Our Advanced and Advanced Plus IT support packages are designed to align with insurer requirements from day one.
By integrating these cyber security measures into your IT support plan, we don’t just reduce your risk, we position you to smoothly sail through insurer audits and claim reviews.
Here’s How We Support You
- MFA enforced and endpoint protection deployed across all devices
- Regular patching, vulnerability scanning, and proactive monitoring
- Incident response plans developed, tested, and documented
- Audit-ready reporting with logs, backup validation, and CE+ alignment
- Access to 24/7 Security Operations Centre (SOC) with Advanced Plus
- Cyber Essentials and ISO 27001 support for certification and renewals
The Bigger Picture
Cyber threats are escalating. Marsh reports show a 33% jump in ransomware claims in Q1 2025 alone, while Cybersmart found that 45% of MSPs are keeping a “ransomware kitty” rather than relying on insurance, underscoring the shift toward prevention-first strategies.
Insurers are also moving the goalposts: expect mandatory ransomware reporting, tighter supplier risk checks, and requirements for continuous monitoring and AI-aware defences.
Why This Matters for Your Business
Cyber insurance is only effective if you can prove that you’ve taken reasonable steps to secure your systems. Without those foundations; MFA, patching, endpoint detection, CE+, audit logs, you risk paying for a policy that won’t pay out.
At Nexus, we give you more than IT support. We provide strategic alignment, making sure your technology, policies, and people meet both regulatory and insurer standards. That means fewer disputes, faster claims, and stronger resilience against today’s threats.
Ready to Build Resilience That Insurers Trust?
Our Advanced and Advanced Plus support packages include everything you need to meet insurer expectations and strengthen your cyber posture, backed by local expertise and national-level insight.
If you’d like to talk about how we can reduce your risk and help make your cyber insurance truly watertight, let’s have a conversation.
Because in today’s landscape, it’s not just about having cover, it’s about making sure it counts.