We wrote a paper last year as part of a CMMC discussion, that explained why cybersecurity compliance was a problem for SMEs and the impact of cyber

← Back to Blog

We wrote a paper last year as part of a CMMC discussion, that explained why cybersecurity compliance was a problem for SMEs and the impact of cyber on the broader supply chain.(https://lnkd.in/dYjWv8-5).

The equation is simple. SMEs/ SMBs make up over 95% of western organisations and they are suppliers of big organisations. They are least likely to afford to implement cybersecurity, the least likely to afford cyber resources, and the most likely to require cyber insurance as their only source of risk transfer. But they generally have no idea what they are buying until an event takes place.

However the cyber insurance industry is now finding it hard to underwrite cyber insurance. So what do SME’s do to manage the risk? Will they be forced back to risk acceptance, risk management or avoidance. They cannot avoid the risk, they are part of bigger supply chains; they cannot accept the risk as it is becoming regulated; customers won’t be able to bail out failing companies, cyber attacks can destroy IP.

So what is left? Organisation will have to manage the risk, and that is going to require a rethink of cybersecurity along the lines proposed by Chris Inglis. We suggest a way forward to start the journey to address the problem in the paper.

Ted Dziekanowski
Gerry Kennedy
Alexander Rae ACII

#cyberinsurance #cyberriskmanagement #cybersecuri #cybersecurity #theaugustagroup

View Original Post
https://www.linkedin.com/feed/update/urn%3Ali%3Ashare%3A6991365195923095552