Cyber risk is no longer just an issue for large corporations or technology companies. Australian small and medium‑sized businesses are now one of the primary targets for cyber criminals.

Recent Australian industry data shows that around 75–80% of SMEs do not currently hold cyber insurance, despite a significant increase in cyber attacks, email fraud, ransomware incidents and data breaches affecting smaller businesses. In many cases, businesses only discover the extent of their exposure after an incident occurs. 

For most SMEs, a cyber event can result in:

• Business interruption and loss of income
• Costs to restore systems and data
• Ransom demands or invoice fraud losses
• Legal and regulatory costs following a data breach
• Reputational damage and loss of client trust

Unfortunately, many business owners assume they are “too small to be targeted” or that their existing business or public liability insurance will respond. In most cases, those policies do not cover cyber events.

How Action Insurance Brokers Can Help

Cyber insurance is not a one‑size‑fits‑all product. Different businesses face very different cyber risks depending on their size, industry, systems, data held and reliance on technology.

At Action Insurance Brokers, we work with a wide panel of specialist cyber insurers and can:

• Access multiple cyber insurance markets, not just one insurer
• Tailor cover to suit your specific business operations
• Arrange protection for:
  • Data breaches and privacy liability
  • Ransomware and cyber extortion
  • Business interruption caused by cyber events
  • System restoration and forensic IT costs
  • Legal, regulatory and notification expenses
  • Social engineering and invoice fraud (where available)

Our role is to match the right policy to your business, rather than forcing your business to fit a generic product.

Our Recommendation

Given the increasing frequency and cost of cyber incidents affecting Australian SMEs, we strongly recommend that all businesses review their exposure to cyber risk, even if they believe their operations are low‑risk.

A short discussion with your Action Insurance Brokers adviser can quickly identify:

• Whether you currently have any cyber cover at all
• Where gaps exist
• What level of protection is appropriate for your business

If you would like to review your current position or obtain advice on cyber insurance options, please contact your Action Insurance Brokers adviser. We are here to help ensure your business is properly protected.