SMEs Face Rising Cyber Threats: BimaKavach CEO Tejas Jain Urges Cyber Insurance

• SMEs and self-employed professionals are increasingly vulnerable to cyberattacks due to reliance on digital systems and fewer protections.
• Digital operations like UPI, cloud accounting, and remote work expose SMEs to risks such as ransomware, phishing, and social engineering fraud.
• A single cyber incident can disrupt operations, compromise sensitive data, affect cash flows, and incur penalties up to ₹250 crore under the Data Protection and Privacy Act.
• BimaKavach CEO Tejas Jain highlights cyber insurance as a crucial reactive measure, best combined with robust cybersecurity practices, to cover first-party and third-party losses.
• Cyber insurance premiums for SMEs start from ₹25,000-45,000 for ₹10-20 lakh coverage, addressing the 43% of attacks targeting small businesses and rising claim costs.

Why It Matters: Cyber insurance is vital for SMEs to manage growing digital risks and financial exposure, complementing cybersecurity.