Many corporations are faced with the issue of financing Managed Detection and Response (MDR). The question is no longer about the desire for MDR – as organizations want it – but about raising capital for it.
MDR represents a new asset in a company’s cyber defense arsenal, necessitating new funding strategies. While some entities may tap into their emergency reserves, not every IT budget has the flexibility to accommodate an immediate MDR investment.
Fortunately, there are alternate avenues for organizations struggling to finance MDR within their current cybersecurity budget. One option is to utilize MDR to access discounts on cyber insurance premiums, enabling the redirection of these savings to cover the service itself.
Adjust Your Expenditure on Cyber Risk Mitigation
MDR and cyber insurance both play vital roles in managing cyber risks. MDR elevates defenses to reduce risks, while insurance transfers those risks to third parties.
Insurers acknowledge the exceptional risk mitigation provided by MDR, resulting in reduced premiums and improved terms for organizations. In fact, a prominent carrier described MDR users as their “top-tier clients” due to their lower likelihood of encountering high-cost incidents. Given similar circumstances, insurers generally prefer to cater to MDR users and price policies accordingly.
This recognition allows organizations to reallocate their cyber risk mitigation funds. With reduced insurance costs, budgets can be shifted to support MDR, resulting in a mutually beneficial scenario where entities benefit from enhanced cyber defenses and reduced insurance expenses.
Access Substantial Insurance Savings with Sophos MDR
Sophos MDR is the most reputable MDR service globally, safeguarding a larger number of organizations compared to its competitors. With consistently high ratings from customers and analysts, businesses of all sizes are opting to fortify and expand their defenses with Sophos.
Many cyber insurance providers acknowledge the outstanding risk reduction capabilities of Sophos MDR, offering customers discounted premiums and streamlined coverage access.
Furthermore, Sophos’ insurance affiliates offer exclusive insurance packages and significant discounts for Sophos MDR users. The availability varies based on local insurance regulations in different countries, such as:
- UNITED STATES: Sophos MDR clients automatically qualify for Cysurance’s flat-rate insurance schemes providing reduced coverage. Learn more.
- AUSTRALIA: Cysurance extends a 33% discount to Sophos MDR users (in addition to 18-21% for Sophos Endpoint users). Learn more.
- UK: Cowbell offers a 12% discount to Sophos MDR users (along with an 8% discount for those using Sophos XDR). Learn more.
Illustrative Scenario
In a recent instance, a U.S.-based Sophos MDR user in North Carolina reduced their insurance premium by $8,000 through Cysurance. With an annual subscription cost of $8,467 for Sophos MDR, the savings meant they could access 24/7 expert-led threat detection and response for an additional cost of just $467.
These benefits extend beyond smaller entities. Following a significant ransomware incident, a well-known national retailer in the UK encountered insurance quotes surpassing £1 million. The retailer turned to Sophos MDR to minimize the potential for future cyber incidents. As a result, Cowbell offered a significant reduction in coverage costs, freeing up funds for bolstering their cyber defenses.
While each organization’s insurance and security requirements may differ, these examples highlight the substantial opportunities for investing in cyber defenses to unlock insurance savings and diminish the total cost of cyber risk mitigation.
Transition to a Risk-Centric Approach
Cyber defenses and cyber insurance work hand in hand to help organizations manage and diminish cyber risks. Nevertheless, traditional organizational structures often reinforce segmented approaches, with budgets and operations viewed independently.
The key to enabling organizations to leverage the synergy between cyber insurance and cyber defenses is to alter the discourse. By adopting a risk-centric approach, organizations can align all resources – both human and financial – towards a common objective, thus facilitating the achievement of superior business outcomes.
Discover Sophos MDR Solutions
Sophos MDR has already empowered over 23,000 organizations to attain enhanced cybersecurity results. Having a team of expert analysts vigilantly monitoring and responding to cyber threats 24/7 minimizes the risk of significant cyber incidents and allows IT/cybersecurity teams to concentrate on strategic initiatives. Furthermore, with 91% of ransomware attacks originating outside regular business hours, employing a specialized MDR service ensures peace of mind for everyone.
Clients, analysts, and partners alike acknowledge the exceptional risk mitigation provided by Sophos MDR, with numerous accolades received.
To gain further insights and evaluate how Sophos MDR can enhance your organization, explore our website or consult with your Sophos partner or security specialist.
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