Cyberattacks are no longer just an IT issue – they’re a boardroom concern; justifiably so. But turning that concern into action often falls to operational leaders, risk managers, and insurance buyers who need to justify spend in a crowded budget.
This guide is for those trying to bridge the gap: between IT and the board, between cyber risk and commercial impact, between what’s needed and what gets approved. It offers a practical framework to help you align cybersecurity and insurance budgets with business priorities, and make a clear, confident case for investment.
To get funding approved, you need more than just a technical case – you need a business case that resonates with decision-makers. That means translating cyber risk into business impact and aligning security proposals with strategic goals.
Start by working closely with IT leaders to define what a proportionate, sustainable cybersecurity investment looks like for your business. Use real-world examples from recent sector incidents to peer benchmarking to show what’s at stake and why action is needed now.
At the same time, build strong relationships with key decision-makers across the business. Without senior buy-in, even well-planned proposals are likely to stall. Make sure your recommendations clearly show how cybersecurity and insurance support business growth, resilience, and reputation.
Map out your cyber environment, policies, controls, processes, and any regulatory requirements. Assess your environment across internal controls, supply chain, employee behaviour, and regulatory obligations – these are often the weak spots.
It is also essential to identify and risk assess any critical business dependencies and functions/systems – what are your business ‘crown jewels’? Think about people, systems, processes, and data; what would cause the most damage if compromised? This risk map becomes the foundation of your security strategy and helps justify the investment needed to protect what matters most.
Your insurance broker or risk partner can provide information on the cyber risk landscape and claims trends and provide access to quantification tools to support you in better understanding the frequency and financial impact of cyber events. This data can also assist in aligning insurance purchase with risk mitigation activities.
How can you link insurance spend to real-world risk using claims data, sector benchmarks, and quantification tools to identify exposures and justify investment?
Your map of the business and threat landscape will allow you to prioritise your focus of effort on those high-risk exposures and business-critical functions and systems and develop a security strategy to support business objectives.
Where cybersecurity investment gaps exist across people, technology, processes, etc., ensure that these are articulated. Avoid fear-based messaging, but be clear and evidence-led when setting out what’s needed and why.
When presenting your proposals, ensure that your communication with business leaders is concise. Anticipate that there may be push-back for certain investments, and consider what other proportionate contingencies can also be put to your leaders.
Effective cybersecurity budgeting requires a top-down commitment to building a resilient defence against evolving threats. Strong risk management ensures funds are allocated strategically, balancing prevention, detection, and response. A security-first culture empowers employees, driving vigilance and accountability across all levels of the business.
As cyber threats evolve, so will your business model, technology stack, and risk exposure. A good example of this is artificial intelligence (AI). As retailers increasingly use AI to optimise pricing or personalise customer experience, cybercriminals are using AI to scale phishing, impersonation, and fraud attempts – raising the stakes for robust defences.
Design and deploy a testing programme that looks to ensure that your cyber defences and your technology environments are operating as they should. Remember to establish a formal change management process for findings and continual improvement.
We are seeing insurers respond to the changing risks faced by organisations, broadening policies to include business interruption cover due to a cyber event affecting a third-party service provider or supplier.
The cyber insurance market is projected to exceed $30 billion by 2030, driven by rising demand and awareness (according to leading reinsurer, Munich Re). Make sure your coverage keeps pace with how your risks, and your business, are evolving. Continuing to invest wisely today means safeguarding business continuity and trust for the future.
Speak to our sector and cyber specialists about how better risk quantification can help you secure funding, improve resilience, and optimise insurance cover.
