Does Cyber Essentials Reduce Your Cyber Insurance Premium?
A clear, direct answer to this question — written for UK business owners and IT decision-makers.
Direct Answer
Yes — Cyber Essentials certification reduces your cyber insurance premiums with many UK insurers, typically by 10–25%. More importantly, certified organisations are 92% less likely to make a claim in the first place. Some insurers now require Cyber Essentials as a minimum prerequisite for coverage. Uncertified businesses face higher excess, reduced coverage limits, and a greater risk of claims being rejected.
Key Points
What you need to know.
The Short Answer
55,995 Cyber Essentials certificates were awarded in 2025; 42,288 at CE level and 13,707 at CE Plus.
For UK Businesses
Only 3% of all UK businesses are Cyber Essentials certified — rising to 21% among large businesses.
Cost Considerations
Only 12% of businesses are aware of the Cyber Essentials scheme (51% among large businesses).
Next Steps
Organisations with Cyber Essentials are 92% less likely to make a claim on their cyber insurance.
Quick Comparison
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Frequently Asked Questions
Many UK insurers offer premium reductions of 10-25% for Cyber Essentials certified businesses. Some underwriters also reduce excess amounts or increase coverage limits for certified organisations. Cyber Essentials certified organisations are 92% less likely to claim on cyber insurance (IASME), which is why insurers view certification as a strong risk indicator and reward it with more favourable terms.
Increasingly, yes. Some UK insurers now require Cyber Essentials as a prerequisite for coverage. Others use it as a condition for claims — if your policy states you maintain certain security controls and you fail to do so, claims can be denied. With 43% of UK businesses experiencing a breach or attack (DSIT 2025), ensuring your certification is current before a claim arises is essential.
Yes. Cyber Essentials Plus includes an independent technical audit verifying your controls actually work, which gives insurers stronger assurance than the self-assessed standard tier. Several insurers offer additional premium discounts or expanded coverage for CE Plus holders. The average cost of the most disruptive breach is £3,550 (DSIT 2025), making the combined investment in CE Plus and reduced premiums highly cost-effective.
Related Questions
Cyber Essentials Certification
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What Is Cyber Essentials?
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