A man and two women sit on a couch, using a laptop and holding credit cards, with two others in the background.

Our embedded cyber insurance and helpline for individuals and families.

HSB Commercial Cyber

Our innovative, comprehensive cyber insurance solutions for your micro, small, and medium-sized customer propositions.

A person interacts with a tablet displaying digital security icons and data-related graphics.

Blog: Cyber protection for customers - The future for packaged bank accounts

Sunita Poll, Director of Strategic Partnerships

Contact our Partnerships Team

"For years, banks have relied on a familiar formula to enhance their customer offering. Packaged benefits such as travel insurance, motor breakdown insurance or purchase protection have helped create perceived value, generate additional revenue streams and build customer retention.

These benefits were relevant in a world where risk felt occasional rather than constant. But that world has changed, so is it time that banks’ refreshed their value propositions to reflect this?

Currently, many traditional benefits overlap with cover customers already have, are subject to eligibility restrictions, or simply lack relevance at the moment customers need help the most. The result? Perceived value is diluted, even when the intention is right.

Cyber risks impact everyone and can no longer be ignored

Today, risk is always on, always connected, and increasingly personal. Despite this, protection and understanding have not kept pace. A significant number of customers still assume they are covered, or that cyber incidents are unlikely to happen to them. In reality, gaps remain in both awareness and financial protection.

Crucially, effective cyber protection is not just about insurance. It starts with education, prevention and readiness, helping customers understand risks before they occur with insurance acting as a vital safety net when incidents do happen.

Cyber risk is no longer something that happens “to someone else” or just to large organisations. It affects everyday consumers managing their finances online, as well as small business owners trying to maintain tight profit margins which depend on their operations running smoothly.

43%

of consumers have either been personally affected or know someone affected by cybercrime (1)

46%

of small UK businesses identified cyber security breaches or attacks in the last 12 months (2)

For consumers, risks manifest in a number of guises; from phishing emails to AI scams, to account takeovers and payment fraud. These threats are frequent. And when actual cyber incidents do occur, the impact is often immediate, stressful and potentially damaging financially. Yet many people still assume their bank or another provider will automatically step in to help, only discovering gaps in protection when something goes wrong.

Just 15%

of consumers believe their households are "very well protected" from online cyber risks (1)

For micro businesses and SMEs, the stakes are even higher. Cyber incidents don’t just cause inconvenience, they can directly threaten survival. Ransomware, invoice fraud or system outages can interrupt income, damage customer relationships and create unexpected costs when they are least anticipated.

46%

of small UK businesses

65%

of medium-sized UK businesses

identified cyber security breaches or attacks in the last 12 months²

What makes this even more complex is how blurred personal and business risk has become. Many micro business and SME owners use the same devices, networks and even banking relationships for both. When a cyber incident happens, it rarely stays neatly contained in one box and can invariably impact personal finances and business stability simultaneously.

What do customers now expect from their bank?

Expectations of banks are shifting. Customers are no longer just comparing rates and features, increasingly they are looking for reassurance, guidance and support around risks that affect their financial security. If banks are serious about refreshing their value proposition, cyber protection is one of the few areas that genuinely benefits all customers and speaks to risks they are already facing.

77%

of consumers would contact their bank or account provider following a personal cybercrime incident (1)

This expectation starts well before a claim. Customers want banks to help them avoid becoming victims in the first place through clear guidance, tools and proactive support alongside having protection in place if something does go wrong. When a cyber incident occurs, whether personal or business-related, the bank is often the first place customers turn. That moment of vulnerability is critical. It’s where trust is either reinforced or eroded. Traditional “added value” benefits struggle to match this reality.

A modern building with large glass windows and horizontal overhangs against a clear blue sky.

In contrast, cyber protection is relevant precisely because it spans prevention, response and recovery, not just financial reimbursement. For micro business and SME customers in particular, this aligns directly with what they care about most: stability, resilience and avoiding nasty surprises. Protection that helps them respond and recover quickly when a cyber incident occurs has far greater perceived value than bundled extras that may never be used.

From passive benefits to proactive resilience

Cyber insurance can play a critical role, not as a standalone product but as part of a wider approach to resilience. It provides practical support when prevention fails, helping customers manage the financial and operational impact of an incident. Just as importantly, when combined with education and preventative support, it helps shift protection from being reactive to proactive.

For banks, this creates a clear opportunity to rethink what value really means. By integrating cyber protection into their offering, they can move beyond traditional perks and towards something more relevant: support that is genuinely useful in real-life situations.

This is where specialist cyber insurers can bring a distinct advantage. With a long heritage in global cyber risk, HSB's expertise extends to solutions designed for individuals, micro businesses and SMEs, enabling a more joined-up approach that reflects how customers actually experience risk.

Importantly, this extends beyond insurance alone through combining insight, education, preventative tools and recovery support into a more holistic proposition. The focus is no longer just on responding to incidents, but on helping customers understand their exposure, improve preparedness and reduce the likelihood of ever needing to claim.

As cyber threats continue to evolve, so too must the way banks support their customers. The opportunity is not simply to add another feature, but to rethink the role they play, becoming a partner in resilience in a world where financial, digital and operational risks are increasingly interconnected."

Learn how HSB can help

Let's discuss how HSB can support your customers when they need it most, whilst also supporting your growth targets.

Personal cyber insurance

Commercial cyber insurance