When people hear the term cyber security, it’s often dismissed as an IT problem or simply an issue of data breaches. But for manufacturing and engineering SMEs, the reality is far broader. A cyber attack doesn’t just threaten data; it can halt production lines, disrupt entire operations, and undermine customer trust.

Over 95% of all cyber attacks are on SME’s

The changing nature of cyber threats

Hackers are no longer just targeting sensitive data. In today’s digital manufacturing environment, production systems, supply chain networks, and connected machinery are prime targets. Ransomware attacks, denial of service, and phishing campaigns can strike different points across a business. 60% of SME’s who experience a Ransomeware attack cease trading in the period of 6 months after the attack.

Over 95% of all cyber attacks are on SME’s who tend to have smaller IT teams and more limited infrastructure compared to larger competitors, they are often more vulnerable to attacks and slower to recover without proper protection in place.

What does a cyber attack look like?

The impact of a cyber incident on a manufacturing SME can be severe:

• Production disruption – downtime on machinery, missed deadlines, potential fines, and supply chain delays.
• Lost revenue – cancelled or delayed orders can cost thousands, with both immediate and long-term effects.
• Lost customers – OEMs and Tier 1 suppliers demand reliability; being seen as a weak link risks contracts.
• Reputation damage – once trust is broken, it’s difficult and costly to rebuild.

Why cyber insurance matters for manufacturers

Cyber insurance protects the very core of your operations, ensuring your business can recover and continue trading after an attack. Coverage can include:

• Business Interruption – compensation for lost revenue during downtime.
• System Restoration – support with getting machinery and networks back online quickly.
• Incident Response – access to IT forensics, legal expertise, and crisis communications.
• Supply Chain Protection – help when attacks on your systems impact your customers.

Tailored cyber insurance policies are designed to reflect the unique risks of manufacturing and engineering SMEs, providing protection where it matters most.

Why manufacturers can’t ignore this risk

The idea that “SMEs are too small to be a target” is a myth. Attackers often target smaller businesses precisely because their defences are weaker.With supply chains increasingly digitised, larger clients expect SMEs to prove their cyber resilience. On top of this, GDPR and contractual obligations add further exposure. We work with manufacturing and engineering businesses to assess risks specific to your production processes, machinery, and supply chain links.

Our approach isn’t about off-the-shelf cover – it’s about creating a tailored solution and providing ongoing advice and support. Cyber insurance should be a partnership, not just a policy.