EP19 Cyber Insurance Insights with Insurance Advisor Laura Schmitz

4BIS Uninterrupted: Cyber Security and IT Podcast

• 45 min

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Cyber Insurance vs. Cybersecurity: What Small Businesses Get Wrong (with Laura Schmitz, HUB International) In this episode of Uninterrupted from 4BIS, host speaks with Laura Schmitz of HUB International about common misunderstandings business owners have about cyber insurance and why small and mid-sized businesses are prime targets for sophisticated hacking groups. Laura explains cyber insurance as a last line of defense and outlines four core coverage areas: liability, business loss, breach response, and cyber crime. They discuss insurer requirements like MFA and backups, the growing length and importance of cyber insurance questionnaires, and how inaccurate answers can lead to denied or reduced claims. The conversation covers hard-hit industries such as manufacturing and nonprofits, invoice manipulation and fundraising platform risks, key exclusions like wrongful collections, ransomware coverage differences (standalone policies vs endorsements, pay-on-behalf vs reimbursement), claim timelines, renewal impacts, and emerging AI-driven fraud concerns. 00:00 Welcome and Guest Intro 00:32 Small Businesses Are Targets 01:54 Cyber Insurance vs Security 02:55 What Cyber Insurance Covers 04:23 Insurers Require Controls 05:16 Homeowners Insurance Analogy 07:52 Industries Hit Hardest 08:13 Invoice Fraud and Domains 10:56 Nonprofit Vulnerabilities 14:18 Policy Exclusions Surprise 16:55 Ransomware Coverage Details 19:40 Hackers Use Your Policy 20:36 Why Questionnaires Grow 22:51 Common Form Mistakes 23:14 Application Mistakes 24:18 Honesty Prevents Denials 25:20 Filing a Cyber Claim 26:39 Report Incidents Fast 28:56 Using Carrier Response 30:45 Finding Cyber Experts 33:05 True Cost of Downtime 34:29 Renewals and Repeat Hacks 37:47 Annual Coverage Reviews 39:31 AI and Future Trends 41:33 False Sense of Security 42:38 Next Steps and Wrap Up Start a conversation with 4BIS on our website at https://www.4bis.com ENJOY OUR VIDEOS? If you want to support 4BIS and our channel the best thing you can do is Subscribe to the 4BIS channel 4BIS Cyber Security & IT Services 14 Knollcrest Drive Cincinnati, OH 45237