Cyber Risk Assessment Benefits for Insurance Agents

Proactive Insurance Agents Use Cyber Risk Assessments to Write More Business

A growing number of insurance carriers are tightening underwriting requirements, and cyber submissions are coming under greater scrutiny. Today, the most competitive agencies are the ones that can help clients understand their cyber exposure and document the strength of their cybersecurity posture. A structured cyber risk assessment has become one of the most effective tools for agents who want to win and retain more commercial accounts.

According to a recent global market analysis, cyber premiums continue to rise and insurers are demanding far better visibility into the security posture of their insureds. One study noted that 82 percent of insurers expect ongoing premium increases because they lack reliable insight into customer cyber risk, while another 89 percent want direct access to security metrics that verify cybersecurity controls. This shift has made cyber readiness an essential part of the modern insurance conversation.

Why Agents Should Lead With Cyber Risk Assessments

Ask any agency leader what their most important KPI is and you will hear the same answer: account persistency. Aiming for a 95 percent retention rate is a common benchmark for well-run commercial agencies. While external factors can impact retention, such as mergers or business closures, many elements remain within the agent’s control.

The most important of these is the advisory relationship. Clients want a consultant, not a quote machine. When agents take time to understand a client's operations and emerging threats, they position themselves as essential partners rather than transactional vendors. One of the biggest concerns at the executive level is cyber risk and the potential financial impact of a cyber incident.

Cyber incidents continue to rise in frequency and severity. IBM reports that the average cost of a data breach has surpassed 4 million dollars, and small and mid-sized businesses are now primary targets due to gaps in cybersecurity controls. A single breach can cause reputational damage, business interruption, and cascading financial loss.

This is where agents can add immediate value. By recommending a cyber risk assessment, agents can help clients uncover vulnerabilities, understand credential risks, and identify gaps in employee cyber hygiene. These insights often lead to simple, low-cost actions that significantly reduce business risk.

How Risk Assessments Strengthen Cyber Insurance Outcomes

As cyber insurance requirements become more stringent, businesses that complete a cyber risk assessment demonstrate a proactive stance in their risk management strategy. This can lead to:

• improved underwriting outcomes

• better pricing and premium stability

• more comprehensive cyber insurance coverage

• higher approval rates for difficult classes of business

Agents who proactively address cyber readiness can help clients avoid last minute surprises, such as conditional quotes or declined submissions due to insufficient security controls.

Another valuable area of focus is employee training. Organizations that invest in training see significantly reduced incident rates. Industry research shows that human error accounts for more than 80 percent of successful cyberattacks, making cybersecurity awareness training one of the highest value safeguards available.

Making Cyber Risk Assessments Accessible for SMB Clients

Many small and medium-sized businesses assume a cyber risk assessment will be complex or expensive. This misconception creates a barrier that agents can easily remove.

tekrisq was built to meet the needs of SMBs. Our streamlined assessment process takes about 30 minutes and uses conversational, jargon-free guidance to collect the essential data insurers care about. Findings are delivered via a one-to-one video review, and our platform continues to measure how well employees adopt recommended practices.

For SMB leaders interested in strengthening their cyber posture, explore our resources here.

For professionals and advisors supporting client cybersecurity programs, visit our page here.

A Realistic Example of Agent-Led Cyber Readiness

Consider a commercial agency competing for a mid-sized manufacturing account. The incumbent carrier has tightened its cybersecurity requirements, and the insured is frustrated by rising premiums.

An agent who brings a structured cyber risk assessment to the conversation can:

• identify gaps in MFA usage

• highlight missing cybersecurity controls

• show how the business compares to industry benchmarks

• recommend immediate, low-cost fixes

• demonstrate improved readiness on submission

By flipping the conversation from reactive quoting to proactive risk management, the agent strengthens the relationship and improves both retention and new business outcomes.

Agents Who Lead With Cyber Readiness Win More Business

Cyber risk is now a core business risk. Clients look to their agents for guidance that protects revenue, reduces exposure, and improves insurability. When agents introduce clients to a streamlined cyber risk assessment, they add measurable value, differentiate themselves from competitors, and build stronger long-term relationships.

Click here to learn more about tekrisq and how we support agents and SMBs.

Definitions

• Cyber risk assessment: A structured review of an organization’s cyber exposure, vulnerabilities, and security controls.

• Cyber insurance: Coverage designed to protect businesses from financial losses related to cyber incidents.

• Cybersecurity controls: Technical and administrative safeguards that reduce cyber risk.

• Risk management strategy: A coordinated plan to identify, assess, and mitigate operational and cybersecurity risks.