Cybersecurity Month 2026: What to Know About Your Coverage
In the insurance industry, the best offense is good defense. In 2026, with the rules surrounding cyber insurance constantly changing and evolving, that is especially true. What is covered and not covered is always changing and one catastrophic incident can cost you more than you would think. On average, the cost of a cyberattack can end up being more than $300k. Businesses that don’t invest in quality insurance will have an incredibly difficult time with this cost. As October is cybersecurity month, we want to teach you all about what insurance you need and how to keep yourself and your business covered. Ebensburg Insurance is here to keep you informed on all things insurance and we want to make sure we are protecting you as best as we can.
What is Different in 2026
First, we are going to go over what is different this year compared to last year.
CIRCIA Evolution: The Cyber Incident Reporting for Critical Infrastructure Act, known as CIRCIA, is in effect for critical infrastructure entities.
Data Exfiltration: A large majority of ransomware attacks, the unauthorized transfer or theft of sensitive data from a computer, network, or cloud environment to an external location controlled by an attacker, are more expensive and more dangerous.
Cost Increases: Rent renewals are getting more expensive across the board.
Claim Shifts & Ransoms: In 2026, one of the most targeted industries is manufacturing and this year, more businesses are refusing to give in to ransom requests than ever before.
Because of all of these shifts and changes, along with more that aren’t listed, the insurance companies and the market as a whole have to respond accordingly.
Most Businesses are Investing in Cybersecurity Insurance
In 2026, the most prominent trend is that more and more organizations have cyber insurance than in previous years. The size of the company plays a large factor in who is investing and who is not. We have seen that larger companies are investing more often than smaller companies. This makes sense, as with more employees and more revenue comes more sensitive information. When companies choose not to invest in cyber insurance, it is almost always because of the cost involved. This lines up because smaller companies usually have less capital to invest in insurance and end up passing on the ones they deem less necessary. This being said, because cybersecurity attacks are becoming more common and more severe, investing in cyber insurance is no longer a luxury only big companies need to worry about. It comes down not to whether you can afford this type of insurance or not, but if you can afford the fallout that could occur without it.
2026 Regulation Changes and Coverage Requirements
While for most of insurance industry history, cyber insurance was about covering the losses your company suffered after an incident, this is changing in 2026. New federal regulations are changing the game. Cyber insurance is becoming a compliance necessity. This is because it is becoming harder and harder to avoid and you could be exposed in ways you would never expect. Because of these requirements, it is smarter and more compliant to invest in cyber insurance early rather than putting it off until the last second.
The Most Commonly Covered Cyber Insurance Incident
In cyber insurance, the most commonly covered thing is data recovery. This is followed by data breaches and ransomware. Data recovery is a cyber liability insurance policy that usually enables businesses to pay for the recovery of any data compromised by an attack. This type of attack is the most commonly insured because it happens the most often to the most types of businesses. On the other hand, some incidents that most companies don;t plan for include costs for investigations, fines, PR costs, etc. What is covered and not covered under your plan depends on who your provider is. This is why it is important to talk with an agent that you trust and find the best plan for your organization. Look over your policy and coverage so you are aware of what will or will not be covered in the event of a cybersecurity breach.
Get Better Security and Better Insurance With Us
Business owners often get stuck in the middle of things with insurance providers and security vendors. We want to make it easier for you to find coverage and stay out of the middle. The only business you should be focusing on is your own. That is why Ebensburg Insurance is here to help you protect your business from cyber threats. Contact us today at 814-472-9557 to talk to one of our agents about your coverage!
