Cyber Insurance for Small Businesses

Cyber insurance helps protect small businesses from damage, liability, and recovery costs in the event a company’s computer system or electronic data has been compromised. Alternatively referred to as cyber liability insurance, cyber risk insurance, or cybersecurity insurance, this type of coverage helps protect small businesses, their employees, and their customers from computer hackers and other electronic threats.

If your small business handles any sensitive information, such as your employees’ social security numbers or your customers’ credit card information, you could be a target for criminals. Cybercriminal activity is only increasing over time, and adequate cyber insurance coverage is one key step in helping to protect your small business assets.

If your computer data is exposed or stolen, a commercial cyber insurance policy can help protect your business from liability.

laptop sitting on desk

How does cyber insurance help protect small businesses?

Identity theft

Cybersecurity insurance helps protect small businesses in the event an employee or customer’s identity is stolen.

Cyber extortion

Cybersecurity insurance helps a small business regain private information if it is the victim of cyber extortion.

Financial protection

Cybersecurity insurance helps protect small businesses against lawsuits and helps mitigate financial loss.

Together, we serve small businesses

Pie Insurance

Pie has partnered with Hiscox for your cyber insurance needs. Their team of in-house experts can help you find the best coverage for your specific business and budget.

Get a Quote with Hiscox

What’s typically covered by cyber insurance?

Cyber insurance policies vary depending on a small business’s needs.

First-party coverage can help cover expenses if a business’s data is stolen or its network is hacked. Coverage may include:

  • Recovery – helps cover the cost to restore lost data due to damage, theft, or corruption

  • Notification – helps with the cost of letting employees, customers, and governmental regulators know about a breach

  • Credit monitoring – assists with services to monitor credit for affected parties

  • Forensics – helps with expenses for legal and forensic services related to the cyber event

  • Crisis management – helps with public relations and advertising to re-establish the company’s standing

  • Business interruption – helps cover lost income and/or expenses to keep the business running

  • Cyber extortion loss – helps pay ransom, damages, and legal expenses

Third-party coverage helps protect a business if it is sued in the event of cybercrime. Coverage may include:

  • Network privacy – helps if the small business is sued for not adequately protecting private, sensitive data of employees or customers

  • Network security – helps if the small business is sued for action or inaction surrounding a data breach or network access issue due to a hacker, virus, or malware

  • Errors or omissions – covers coding mistakes and software errors related to any professional services provided 

  • Electronic media – helps if a small business is sued for slander, defamation, libel, infringement, or other issues related to data published on the internet

What other types of insurance might my small business need?

While cyber insurance can help protect small businesses in the event of a cybercrime, small business owners should also consider additional types of insurance:


Workers’ compensation insurance helps provide medical, disability, survivor, burial, and rehabilitation benefits to employees who experience illness, injury, or death due to a work-related incident. In nearly all states, and with few exceptions, businesses are required by law to carry workers’ compensation insurance. Get a workers’ comp quote in 3 minutes.


Commercial auto insurance helps cover liability and physical damage for vehicles owned by a company.


General liability insurance helps protect a small business against third-party claims of bodily injury, property damage, or personal injury.


Business owner’s policy (BOP) insurance offers bundled protection that helps protect against claims related to property damage, fire, personal injury, advertising injury, and other issues.