Social Engineering Insurance Hub
The human element is the weakest link in cybersecurity. Learn how to protect against phishing, BEC, and social manipulation—and ensure your insurance covers these attacks.
The Social Engineering Threat
Social engineering attacks exploit human psychology rather than technical vulnerabilities. They’re responsible for over 90% of successful cyber attacks and are the leading cause of business email compromise (BEC) losses.
The numbers are staggering:
- BEC attacks caused $2.9 billion in losses in 2024
- The average wire fraud loss exceeds $125,000
- 1 in 3 employees will click a phishing link
- AI is making attacks dramatically more convincing
This hub covers:
- How social engineering coverage works
- Prevention strategies that lower premiums
- The psychology attackers exploit
- Real attack stories and lessons
Coverage & Claims
Business Email Compromise Coverage Guide
How BEC coverage works, common sublimits, waiting periods, and exclusions that can void your claim.
ESSENTIAL READING🚫 Why Social Engineering Claims Get Denied
Social engineering claims have high denial rates. Learn the specific exclusions and how to avoid them.
Read Analysis →Understanding the Threat
The Psychology of Social Engineering
The most important article in this hub. Understanding why social engineering works is essential for:
- Training employees effectively
- Designing verification procedures
- Presenting your risk to underwriters
Key psychological triggers attackers exploit:
- Authority (impersonating executives)
- Urgency (creating time pressure)
- Social proof (fake endorsements)
- Reciprocity (offering something first)
Emerging AI Threats
AI-Powered Phishing & Underwriting Impact
AI is revolutionizing phishing attacks. How insurers are responding and what new controls they're requiring.
Read Analysis →Deepfake Scams & Synthetic Media
Voice cloning, video deepfakes, and AI-generated personas. The next frontier of social engineering.
Future Threats →AI Cyber Insurance Considerations
How AI is changing both attacks and defenses—and what it means for your coverage.
AI Deep Dive →Prevention & Training
MFA: Your First Line of Defense
Multi-factor authentication stops most credential theft from phishing. Now required by virtually all carriers.
Implementation Guide →🔑 The Future is Passwordless
Passkeys and passwordless authentication eliminate the credential theft problem entirely.
Future Security →Complete Security Checklist
All the controls insurers look for, including anti-phishing measures that can lower your premium.
Get Checklist →Why Your IT Guy Isn't Enough
Social engineering defense requires culture change, not just technology. Building a security-aware organization.
Read Reality Check →Response Planning
First 24 Hours After a Social Engineering Attack
Wire transfers can sometimes be reversed if you act fast. Critical steps for the first 24 hours.
Emergency Playbook →📝 Incident Response Plan Template
Having a documented plan before an attack happens. Includes specific procedures for BEC and wire fraud.
Get Template →Incident Response Team Budget Guide
What it costs to have proper incident response capabilities—and how insurance covers these costs.
Budget Planning →Common Social Engineering Scenarios
How These Attacks Typically Work
CEO Fraud / Executive Impersonation
- Attacker researches company via LinkedIn, press releases
- Creates convincing email impersonating CEO
- Contacts finance team with urgent wire transfer request
- Employee complies due to apparent authority + urgency
Vendor Invoice Fraud
- Attacker compromises vendor’s email (or spoofs it)
- Sends legitimate-looking invoice with changed bank details
- AP team pays invoice to attacker’s account
- Real vendor later asks about missing payment
Payroll Diversion
- Attacker impersonates employee via email to HR
- Requests direct deposit change to new account
- Next paycheck goes to attacker
- Employee notices missing paycheck weeks later
Ready to Protect Against Social Engineering?
Get Social Engineering Coverage
Make sure your cyber policy includes adequate social engineering and funds transfer fraud sublimits.
Ready to Protect Your Business?
Compare cyber insurance quotes from top-rated carriers. Most small businesses pay $1,200-$3,500/year for $1M coverage.