Why all Australian Businesses Need Cyber Insurance

Cyber Insurance: The Modern Business Essential You Didn’t Know You Needed

At Fortuna Insurance, we help protect Australian businesses from real-world risks — and in today’s world, cybercrime is one of the fastest-growing threats. Whether you’re running a small consultancy or managing a team of 150, the digital tools you rely on every day could be exposing your business to serious financial and reputational harm. That’s why cyber insurance is no longer optional — it’s essential.

In today’s digital economy, cybercrime is no longer a distant threat in some other country—it’s happening right here in Perth and across Australia.

Yet many small and medium business owners still believe cyber insurance is something only large corporations or tech firms need. The truth? If your business uses email, stores customer data, or relies on the internet in any way, you’re a target.

Let’s explore what cyber insurance covers, the myths that leave businesses exposed, and why now is the time to get covered.

What Is Cyber Insurance?

Cyber insurance protects your business from the financial and operational fallout of a cyber event—like a data breach, ransomware attack, or phishing scam.

A good cyber insurance policy typically includes:

• Data recovery costs

• Legal expenses and regulatory fines

• Notification and investigation costs

• Reputation management and crisis PR

• Business interruption cover

• Third-party liability if clients’ data is compromised

Still not convinced you need this type of insurance for your business?

Here are some of the more frequent objections we hear to getting this type of insurance:

“We’re too small to be targeted.”

This is the biggest misconception out there. In fact, 43% of cyber attacks in Australia target small to medium businesses. Hackers know that smaller businesses often lack strong cybersecurity—and they exploit that.

“We have antivirus software. We’re covered.”

Antivirus is important, but it’s not enough. Many breaches come from employee errors, outdated systems, or sophisticated scams that slip through the cracks. Insurance helps you recover when protection fails.

“We don’t collect sensitive data.”

Do you store customer names, emails, payment details, or login credentials? That’s sensitive data. If it gets out, you’re legally responsible—and financially exposed.

“Our IT guy will fix it.”

Internal IT teams may help with recovery, but cyber insurance covers external specialists, legal fees, regulatory fines, and lost revenue—things your tech team can’t.

“It won’t happen to us.”

It’s not a matter of if but when. Cyber threats are growing every year, and Australia is a top target for phishing and ransomware.

Why Every Business Needs Cyber Insurance, including yours:

1. Cyber Attacks Are on the Rise

Ransomware, phishing, business email compromise, and social engineering scams are affecting businesses of all sizes—including right here in WA.

2. Breaches Can Be Financially Devastating

The average cost of a cyber breach in Australia for SMBs is over $39,000. For some, that’s a business-ending event.

3. You're Legally Obligated to Protect Data

Under the Privacy Act and the Notifiable Data Breaches scheme, you must take reasonable steps to protect personal information—or face consequences.

4. Business Interruption Is a Real Risk

Cyber attacks can take down your systems, disable your website, or stop you from trading—costing you days or weeks of lost income. Cyber insurance can cover this.

5. It Builds Client Confidence

Demonstrating that you're cyber insured shows clients, suppliers, and partners that you take digital security seriously.

Who Needs Cyber Insurance?

If your business:

• Sends or receives emails

• Stores customer data

• Accepts online payments

• Operates a website

• Uses cloud software or SaaS platforms

• Has employees accessing systems remotely

…you should absolutely consider cyber insurance.

Industries especially at risk include:

• Health and allied health

• Legal and financial services

• Real estate and property

• eCommerce and retail

• Professional services (accounting, IT, consulting)

Cybercrime isn’t going away—and relying on luck isn’t a strategy. If you're not covered, you're vulnerable.

Please talk to us at Fortuna Insurance today about how cyber insurance can protect your business.

Disclaimer: This blog is for general information only and does not constitute personalised advice. Speak with a licensed insurance professional at Fortuna Insurance to discuss your unique requirements.