Cyber Insurance, Compliance, and the Myth of “We’re Covered”
“We’re covered” is one of the most dangerous phrases in cybersecurity.
Many UK businesses assume:
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Insurance will pay out
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Compliance equals protection
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Audits mean readiness
Unfortunately, reality is harsher.
Insurance Is Not a Safety Net
Insurers increasingly expect:
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Evidence of ongoing risk management
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Clear accountability
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Proof that controls were operational, not just documented
After an incident, claims are often challenged not on whether controls existed but on
who was responsible for them.
Compliance Without Ownership Is Fragile
Passing an audit does not mean:
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Risks are understood
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Controls are effective
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Decisions are defensible
Compliance shows alignment at a point in time. Accountability shows governance over time.
The Question to Ask
Instead of: “Are we compliant?”
Ask: “Could we defend our cyber risk decisions under scrutiny?”
If the answer is uncertain, coverage and compliance may not protect you when it matters most.
