Cyber insurance: A must for MSPs
barracuda, Thursday, May 29th, 2025
If you don't carry cyber insurance yet, you may want to reconsider. Statistics show that if you are an MSP owner, you probably already have it, with 91.7 percent of managed service providers (MSPs) carrying cyber insurance specifically for their operations, underscoring its recognition as a key safeguard in the industry.
'Insurance is simply a tool to limit the harm of a large bill if something bad happens,' John Bambenek, President of Bambenek Labs, a boutique cybersecurity threat intelligence firm that provides services for customers worldwide. Bambenek compares cyber insurance to car insurance. 'It is just a monthly expense. until a car accident happens.' MSPs will notice that if they provide services to anything other than the smallest and small to medium-sized businesses (SMBs), their customers will want proof of insurance before signing any contract.