Getting cyber insurance used to be simple. Make a short application, write a check, and you're done. Not anymore.
Today's applications look more like security audits. Multi-page questionnaires dig into every corner of your IT infrastructure. Insurers reject applicants who can't prove they've locked down their systems. And if you think you'll skate by with vague answers, think again. Carriers verify everything.
For Long Island businesses, this creates a problem. Most owners don't speak insurance terms or know what ‘endpoint detection’ means. That's where your MSP comes in. They're the translator between your business and the insurance company's checklist.
But here's the catch: not every MSP on Long Island knows what insurers actually want. Some are still recommending outdated approaches that won't cut it anymore. If your provider isn't checking these six boxes, you're probably paying for services that won't help you get, or keep, coverage.
Your MSP Better Have Multi-Factor Authentication Running Everywhere
Insurance companies won't even look at your application twice if you're still using just passwords. They want multi-factor authentication for everything: email, remote access, admin accounts, cloud apps, and more.
Your MSP needs to set up an MFA that works without driving your team crazy. That means covering the obvious things like Office 365, but also the systems people forget about: backup portals, vendor access points, and those admin accounts IT uses to manage everything.
Why are insurers so pushy about this? Stolen passwords are behind most breaches. Hackers buy login credentials cheaply on the dark web, then walk right into networks. MFA stops that cold. No second factor, no access. Simple as that.
If your MSP isn't pestering you about adding MFA to every single system, they're behind the curve. And that puts your coverage at risk.
Backups Need to Be Bulletproof and Tested
Insurance companies drill down hard on backups during applications. They want dates, frequencies, storage locations, test results, and recovery timelines. ‘Back everything up’ is too vague and doesn't work anymore.
Your MSP should be running backups that meet the 3-2-1 rule: three copies, two different media types, one offsite. But now, insurers also want proof that your backups can't be encrypted by ransomware. That means air-gapped or immutable storage, copies that attackers can't touch, even if they take over your entire network.
Testing matters just as much as running backups. Your MSP needs to regularly restore files and verify everything works.
No solid backup proof? Insurers either deny you or offer high premiums. Two bad options present themselves when ransomware encrypts your files: pay the thieves or lose your data.
Antivirus Software Stopped Being Relevant
Antivirus used to feel like real protection, but not anymore. Insurance companies moved on. Insurers don't. They want endpoint detection and response tools on every device that touches your network.
EDR works differently from old-school antivirus software. It doesn't just block known threats, but also watches how programs behave. Something tries to encrypt files out of nowhere? A user account suddenly hits servers it never touched before? EDR identifies and stops the process.
Every device needs EDR. Your MSP can't leave gaps. No exceptions. That laptop your CFO takes home? Is it covered? What about the tablet your warehouse manager uses for inventory? What about remote workers accessing files from coffee shops?
Insurers check EDR coverage because they know it works. These tools stop attacks that slip past everything else. They also record what happened, which becomes gold during investigations. Without EDR logs, figuring out how attackers got in turns into expensive guesswork.
Patches and Vulnerability Scans Can't Be Optional
Hackers love unpatched systems. So do insurance companies, but for different reasons. Carriers know that missing patches are red flags for sloppy security practices.
Your MSP should run a tight patch management program. Security updates from Microsoft and other vendors? Your MSP on Long Island needs to test them and get them installed quickly. Critical stuff gets patched immediately, same day if possible. Everything else within a week or two at most.
What patches miss, scans will not let pass. These include servers not properly configured, software not updated for a long time, and poor security settings.
Insurance applications ask pointed questions about patch schedules and vulnerability management. Companies that hem and haw get flagged immediately. Your MSP needs documentation showing they're consistently on top of this stuff, not just when renewal season rolls around.
You Need an Incident Response Plan, And It Better Work
When hackers break in, most businesses panic. They start running around trying to fix things, calling random security firms, maybe even paying ransoms, before telling anyone.
That’s a bad move.
Most policies tell you to contact them first. Some even assign you breach attorneys or forensics experts the second you report trouble. Already hired outside help or talked to the attackers? You could wreck your coverage.
Your MSP needs to help you write an incident response plan and delegate tasks and responsibilities. Who does what when you're breached? It covers when to call insurance, how to stop the bleeding, and who talks to customers or government regulators.
Just having a plan sitting in a drawer means nothing. Your MSP should run practice drills in which your team discusses different attack scenarios. What to do when ransomware hits Friday at 4 PM? Who decides to pull the plug on systems? Where'd you put those backup admin passwords?
Insurers ask about incident response testing because they've seen too many companies fumble during real attacks. Practiced teams contain breaches faster, which means smaller claims and lower costs all around.
Security Monitoring Can't Stop at 5 PM
Hackers don't work business hours. They strike at 2 AM on holidays when nobody's watching. That's exactly when your MSP needs to be paying attention.
Insurers like businesses that have 24/7 Dark Web Monitoring. All day and night, security operations centers scan for hazards and stop issues before they become catastrophes.
Without records, monitoring alone isn't very effective. Your MSP has to keep detailed logs of network activity. Insurance companies want proof of regular security reviews, tracked incidents, and logs saved for months.
Logs do double duty. After an attack, investigators dig through them to trace how hackers broke in, what they grabbed, and whether they actually left. No good logs? You're guessing and hoping you cleaned everything up.
Partner With An MSP That Understands Insurance Requirements
Cyber insurance requirements keep getting tougher. Long Island businesses can't afford MSPs who are learning on the job or treating security as an afterthought.
The six areas covered here aren't suggestions. They're prerequisites for getting and keeping coverage. Companies that skip steps or cut corners find out the hard way when their applications get rejected or claims get denied.
The good news? These same security controls that satisfy insurance companies also protect against actual threats. Multi-factor authentication stops credential theft. EDR blocks ransomware. Good backups mean you can tell hackers to pound sand. It's a package deal.
Smart businesses are getting ahead of this instead of scrambling at renewal time. They're working with MSPs who understand insurance requirements and build security programs that check every box.
Get Your Cyber Insurance House in Order
B&L PC Solutions knows what Long Island insurers demand because we've helped dozens of businesses navigate these requirements. We will take a close look at your operational configuration, check for any shortcomings that could affect your application, and fix them before they create further complications.
We handle backup validation, MFA, patch management, endpoint protection, security monitoring, and incident response planning. Before they cause disruption, we will review your setup, identify existing gaps and fix them. Renewal time must pass without incident. No scrambling to meet new requirements.
Call B&L PC Solutions now for a cyber insurance readiness assessment. We'll show you exactly where you stand and what needs attention. Because the worst time to discover you're not insurable is after an attack, when it's already too late.
Tags: CyberInsurance, MSPServices
