If we had a dollar for every time a client told us, “I’m just a local business, why would Russian hackers care about me?”, we could retire.

It is the single most dangerous assumption you can make in 2025.

The reality is that cybercriminals have moved on from targeting “Fort Knox” institutions. They are now using automated bots to rattle the doorknobs of thousands of small businesses at once. In fact, recent reports indicate that 62% of small businesses have experienced a cyber incident, with the average cost to a small business now sitting at approximately $56,000 per incident.

At Southside Insurance Brokers, we see the fallout first-hand. Here are the top 5 myths that leave NSW businesses exposed, and the reality check you need to hear.

Myth 1: “I’m too small to be a target.”

The Reality: You aren’t being targeted because of who you are; you are being targeted because of what you are—a vulnerable IP address.

Hackers use “spray and pray” automated software that scans the internet for known weaknesses. They don’t care if you are a multinational bank or a family-run pool builder in the Shire. If you have an unpatched server or a weak password, their bot will find it, lock your files, and demand a ransom. To them, you are simply a low-hanging fruit.

Myth 2: “My IT guy handles all of that.”

The Reality: This is like saying, “I have a fire alarm, so I don’t need fire insurance.”

Your IT provider does an essential job: they build the wall to keep intruders out. But what happens when the intruder gets in anyway?

• Does your IT guy have $50,000 cash to pay a ransom demand?
• Can they provide legal defence if you are sued by clients for losing their data?
• Can they cover your lost income while your systems are down for two weeks?

Cyber Insurance (financial protection) and IT Security (technical protection) are two different things. You need both.

Myth 3: “I don’t hold ‘sensitive’ data, so I have nothing to steal.”

The Reality: You don’t need to hold credit card numbers to be a victim.

The most common attack we see for non-tech businesses (like manufacturers or trades) is Ransomware. Hackers don’t want to steal your data; they want to deny you access to it.

Imagine if you lost access to your:

• Customer database
• Invoicing system
• Email history
• Schedule/Job logs

Could you operate your business tomorrow? If the answer is no, you are a target for extortion.

Myth 4: “My General Business policy covers this.”

The Reality: This is a costly assumption.

Five years ago, some business packs offered a tiny amount of “limited cyber” cover. Today, almost all General Liability and Business Package policies contain a Total Cyber Exclusion.

If you suffer a “Business Email Compromise” (where a hacker tricks your accounts team into paying a fake invoice), your standard policy will likely pay $0. Only a standalone Cyber Security policy is designed to cover social engineering and cyber fraud.

Myth 5: “Our Antivirus and Firewalls are enough.”

The Reality: Technology can’t patch “Human Error.”

Over 80% of cyber breaches are caused by human error, not technical failure. It only takes one tired employee clicking on a convincing link in a fake Australia Post email to bypass your expensive firewall.

Antivirus software cannot stop a staff member from voluntarily handing over their login credentials to a phishing site. Cyber Insurance is there to pick up the pieces when the “human firewall” fails.

The Southside Solution: It’s Easier Than You Think

You don’t need to be a tech expert to protect your business; you just need the right safety net.

We can arrange a Cyber Insurance policy that includes 24/7 Incident Response. This means if you are hacked, you don’t call your IT guy—you call a dedicated hotline that deploys forensic IT specialists, legal teams, and crisis negotiators immediately.

Don’t wait for the “Red Screen of Death.” Contact Southside Insurance Brokers today.

Telephone: (02) 9542 5151

Email: info@southsidebrokers.com.au