Cyber Insurance Cost by Business Size

How Revenue Drives Your Premium

Insurers price cyber liability coverage primarily on potential loss severity, and revenue is the clearest proxy they have for that. A bigger business typically holds more customer records, runs more systems, and would lose more income per day of downtime, so the premium scales accordingly.

According to Insureon’s data, drawn from over 100,000 small business policyholders:

• Businesses under $100,000 in annual revenue average about $587 a year
• Businesses between $1 million and $2.49 million in revenue average about $1,754 a year
• Businesses with $10 million or more in revenue average about $5,790 a year

Worth noting: Insureon’s typical customer skews small, often under 5 employees and under $200,000 in revenue, so these figures reflect a small-business-heavy sample. If you’re a larger operation, your quote may differ from the headline averages.

Why There’s No Clean Per-Employee Number

You may see “cost per employee” figures floating around online. We looked for a published, methodologically transparent table breaking down cyber insurance cost strictly by employee count and could not verify one from a primary source like Insureon, AdvisorSmith, or NetDiligence. Revenue, not headcount, is the primary rating variable insurers actually use, so treat any “cost per employee” figure you see elsewhere with some skepticism unless it cites a real source.

What This Means for You

If your business has grown since you last checked cyber coverage, your premium needs may have grown with it, not just because of size, but because more revenue usually means more systems, more vendors, and more data to protect. The best way to know your real number is to get a quote rather than extrapolate from an average.