While cyberattacks and data breaches at Fortune 500 companies tend to dominate the headlines, America’s more than 28 million small businesses and their 56 million employees are increasingly vulnerable. Their exposure is much the same as that of larger companies, experts say, but many may overlook or underestimate the threat and may not fully understand the risks. Small businesses (defined as firms with fewer than 250 employees) face a growing frequency of attacks and breaches which can result in potentially severe financial consequences. This paper explores the cyberthreat landscape for small-and mid-sized businesses (SMBs), their growing appetite for insurance, how claims costs are unfolding, and how insurers are developing products and risk management solutions to help build resilience.
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