Ohio businesses face a rising volume of cyberattacks — from ransomware and business email compromise to credential theft and data breaches. In response, many are asking the same question:
Should we prioritize cybersecurity controls or cyber insurance coverage?
The short answer: start with cybersecurity. Insurance is important, but it’s not a substitute for actual protection.
Cybersecurity isn’t just an IT function — it’s your first layer of operational risk management. It’s the difference between containing a threat early and navigating a full-scale business crisis.
Strong security controls help reduce the likelihood of a breach, limit the scope of damage, and build long-term business resilience.
For small and mid-sized businesses in Ohio, a preventive cybersecurity strategy should include:
Passwords alone are no longer enough. MFA significantly reduces the risk of unauthorized access, especially for email accounts, cloud applications, and remote work tools.
A compromised email account is often the entry point for business email compromise (BEC), ransomware, or data theft.
Many cyber insurance carriers now require MFA for coverage eligibility.
Traditional antivirus tools are outdated. Modern threats require modern solutions like Endpoint Detection and Response (EDR) or Extended Detection and Response (XDR).
These tools monitor and respond to suspicious activity in real time.
For hybrid or remote teams, endpoint visibility is essential — every laptop, tablet, and phone becomes a potential attack surface.
Human error remains the biggest vulnerability. Phishing emails, malicious links, and social engineering tactics continue to exploit employees at every level.
Regular training reduces click-through rates on phishing simulations and improves detection.
Focus on short, frequent training modules — not once-a-year checkboxes.
Outdated software leaves known vulnerabilities exposed. Attackers actively scan for unpatched systems — especially in widely used tools like Microsoft Exchange, VPN appliances, and WordPress plugins.
Automate patching where possible.
Assign responsibility for monthly updates and third-party application management.
You can’t fix what you don’t see. Routine internal reviews and third-party scans help identify misconfigurations, open ports, and access control issues before attackers do.
Use CIS Controls or NIST CSF as a framework.
Document results, mitigation steps, and timelines for corrective action.
Why this matters:
In the 2023 Verizon Data Breach Investigations Report, 74% of breaches involved the human element — whether through social engineering, misuse of privileges, or simple mistakes.
Without basic cybersecurity controls:
You’re more likely to experience a breach.
You may not qualify for cyber insurance.
You’ll face higher legal, operational, and reputational costs post-incident.
Cyber insurance may help you recover after a breach — but cybersecurity is what prevents it from happening in the first place.
If you're unsure whether your current controls meet minimum standards, the first step is a risk assessment. Start there. Then build out your strategy based on your exposure, industry, and budget.
Cyber insurance is not a substitute for security — it’s a contingency plan. When your defenses fail, insurance can help cover the financial fallout. But it only works after an incident occurs, and only if you’ve done the work to minimize your risk upfront.
Comprehensive cyber insurance policies may include coverage for:
If sensitive data is exposed — including customer names, addresses, Social Security numbers, or payment info — your business may face lawsuits or penalties under state and federal regulations. This is especially critical for:
Healthcare providers (HIPAA)
Financial institutions (GLBA)
Businesses handling consumer data (Ohio’s Data Protection Act)
Cyber insurance can cover the cost of legal counsel, settlements, and compliance obligations.
Ransomware is a growing threat across Ohio. Many attackers now exfiltrate data before encryption and threaten to leak it online. Cyber insurance can:
Pay for experienced negotiators
Cover the ransom payment (when legally permissible)
Assist with cryptocurrency transfers and documentation
Note: Some insurers now cap or limit ransomware coverage due to the rise in claims.
You’ll need to identify what was accessed, how the attackers got in, and what systems were compromised. Cyber insurance often provides access to:
Certified incident response firms
Forensic analysts to investigate root causes
Guidance on system recovery and future prevention
Most data privacy laws require timely notification if personal or financial information is exposed. This process can be complex, especially if you serve clients in multiple states.
Cyber policies often cover mailing costs, call center support, and credit monitoring services.
Delays in notification can increase fines — and erode customer trust.
Cyber incidents can damage your brand reputation overnight. Insurance may cover:
PR firms to help manage media response
Internal and external communication support
Ongoing brand monitoring and stakeholder messaging
Cyber insurance can mitigate risk — but it won’t bail out bad security. Insurers are tightening requirements across the board. If your controls are weak or undocumented, you may face:
Higher premiums — especially in industries targeted by ransomware (e.g., manufacturing, legal, healthcare)
Policy exclusions — such as coverage gaps for outdated systems or employee negligence
Claim denials — due to missing logs, lack of MFA, or incomplete incident response documentation
According to a 2024 Marsh report, nearly 50% of SMBs had at least one insurance application rejected or returned due to inadequate cybersecurity posture.
Cyber insurance is a safety net — not a strategy.
You can’t insure your way out of a breach. Insurers are looking for businesses that take cybersecurity seriously, with:
Documented controls
Proven resilience (backups, segmentation)
A clear, testable response plan
For Ohio businesses, the path forward is clear: secure first, insure second. Get the fundamentals right, then invest in a policy that truly protects your bottom line.
Here’s a logical, phased approach for SMBs without unlimited budgets or internal security teams.
Implement MFA and access controls
Secure endpoints and email systems
Back up critical data (offline and tested)
Train employees on phishing and social engineering
Develop an incident response plan
Maintain updated security policies
Log and review access to sensitive systems
Track updates, patching, and audit trails
Work with a broker who understands SMB risk and compliance
Review exclusions carefully — many policies do not cover human error or legacy systems
Ensure your current cybersecurity controls align with the policy’s underwriting criteria
Insurance is not a risk management strategy. It’s a financial tool to help recover once controls have failed.
Cybersecurity protects your data, your operations, and your reputation.
Cyber insurance helps cover the damage after a breach.
For Ohio businesses, especially SMBs without in-house IT teams, the most cost-effective approach is to invest first in security controls — then add insurance coverage to close the loop.
Get the right technology partner in Ohio with Securafy. From Managed IT and Penetration Testing to Unified Communications and Compliance Support, we deliver trusted solutions. Visit our Ohio IT Services hub.
If you’re unsure where to start, prioritize a risk assessment and baseline audit. Most cyber insurers now require it — and it’s the fastest way to identify where your business is most vulnerable.