CFC launches cyber tool to bridge SME protection gap

Michael Miller ; 2025-11-15 18:25:54

Specialist is betting that personalised threat reports written in plain business language can unlock a massive untapped market

Cyber

By Kenneth Araullo

Nov 27, 2025Share

Cyber insurance specialist CFC has launched a new tool designed to assist brokers in engaging small and medium-sized enterprise clients on cyber risk and expanding their customer base within the SME sector.

The Cyber Threat Review reports provide targeted threat analysis to individual businesses rather than generic industry-wide information. CFC's head of global cyber development, Lindsey Maher (pictured above), said that "SMEs have been overwhelmed with reams of stats and details of risks that they can't relate to."

Cyber Threat Reviews are generated from ongoing monitoring undertaken by CFC's security team and delivered as point-in-time analyses specific to individual client operations. Each report identifies threats and vulnerabilities with high likelihood of generating insurance claims, translating technical security concepts into business risk language applicable to non-technical audiences.

Read more:Cyber insurance gaps exposed as SMBs remain largely unprotected

This knowledge gap represents a substantial barrier within the SME market. A Munich Re survey found that 28% of companies had never been offered cyber insurance, 26% did not know it existed, and 23% cited confusion over coverage terms, reflecting the distribution and education challenges brokers face when selling to smaller businesses.

Despite these obstacles, significant adoption potential exists, with 82% of businesses with 500 or fewer employees currently lacking cyber liability coverage yet 53% of those uninsured organisations indicating they are "very likely" to purchase a policy within the next year.

Read more:QBE warns of escalating ransomware risk and pressure on cyber insurance portfolios

The risk environment underscores the urgency of such protection. Publicly named ransomware victims are projected to surpass 7,000 by 2026, up from 5,010 in 2024, whilst the average cost of individual ransomware incidents rose 17% in the first half of 2025 despite overall claim volumes declining 53%, indicating that attacks are becoming more targeted and costly for affected organisations.

Maher said that the reports "bridge the knowledge gap for those who don't speak cyber jargon, delivering a personalised concise report written in day-to-day business language." CFC believes the tool will assist brokers in developing new income streams and increasing cyber insurance adoption rates globally.

Cyber Threat Reviews will initially accompany every SME cyber quotation issued by CFC's underwriting team, with broader distribution via multiple trading platforms anticipated.