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Cyber Insurance Questionnaires: Why Getting It Right Matters

ByBob McCool

If you’ve got cyber insurance (and we hope you do!), chances are you’ve received—or will receive—a questionnaire from your insurance provider. It’s not just a formality. These questions are designed to confirm that your organization is doing the right things to protect itself from cyber threats. And how you answer them can have serious implications.

Why the Questionnaire Matters

Cyber insurance isn’t just a safety net; it’s a contract. And like any contract, it comes with conditions. The questionnaire is your insurer’s way of checking that you’re upholding your end of the deal. Think of it like a digital wellness check.

Answering incorrectly—or worse, dishonestly—can lead to:

  • Claim denial if something goes wrong and your answers don’t match reality.
  • Policy cancellation or refusal to renew.
  • Legal liability if misrepresentation is involved.

What If You Answer “No”?

Sometimes, you’ll hit a question like: “Do you use multi-factor authentication for all remote access?” And your honest answer might be “No.”

That’s okay, sort of.

Answering “No” doesn’t automatically disqualify you from coverage, but it does raise a flag. It might:

  • Trigger a premium increase.
  • Require you to implement missing controls before renewal.
  • Limit your coverage scope.

The key is to be honest and proactive. If you’re missing something, start working on it. Many insurers will work with you if they see progress.

Who Should Fill It Out?

Here’s where things often go sideways: the wrong person fills out the form.

Cyber insurance questionnaires are technical. They ask about firewalls, endpoint protection, encryption, access controls, and more. If you’re not deeply familiar with your IT environment, guessing or assuming can be risky.

Best practice? Have someone qualified complete it. That could be:

  • Your internal IT manager or cybersecurity lead.
  • Your outsourced MSP (like Ariel IT Services—we do this all the time).
  • A consultant who understands both your infrastructure and the insurance landscape.

Why Cyber Insurance Is Worth It

Cyber threats aren’t going away. From ransomware to phishing to data breaches, the risks are real and expensive. Cyber insurance helps you recover financially, but only if you’ve done your part to stay secure.

That means:

  • Keeping systems updated.
  • Training staff on security awareness.
  • Using strong authentication.
  • Monitoring for threats.
  • Documenting your policies.

And yes, answering that questionnaire accurately.

Final Thoughts

Cyber insurance is a powerful tool, but it’s only as strong as the foundation you build beneath it. Take the questionnaire seriously. Be honest. Get help if you need it. And make sure your cybersecurity practices are up to par—not just for insurance, but for your organization’s resilience.

If you’re unsure about how to answer your questionnaire or whether your current setup meets the requirements, reach out. Ariel IT Services can help you navigate the process, fill in the gaps, and make sure you’re covered—literally and figuratively.

 

Ariel IT helps businesses simplify technology, strengthen cybersecurity, and stay compliant with evolving standards. As Business Professionals - Technical Experts, we partner with organizations to deliver reliable IT solutions that support growth and peace of mind.  Contact us to learn more

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