How much does cyber insurance for a medical device company cost?

There is no flat rate. Cyber pricing for a device company is built from the volume and sensitivity of the data held, revenue, whether the devices are connected or software-driven, the security controls in place, and prior claims. Because controls dominate the calculation, two device makers of the same size can see very different premiums.

As a rough orientation, a small manufacturer with clean controls and modest data volumes tends to see a $1M-$2M cyber policy in the low-to-mid four figures per year; a connected-device or SaMD company, a company holding large patient-data sets, or one required to carry higher limits by contract will see materially more. These are practitioner-typical ranges, not quotes.

Data volume and sensitivity: how many patient, clinical, employee, and payment records the company holds, and whether that includes protected health information subject to HIPAA notification obligations.

Connected devices and software: a networked device or a SaMD product raises the exposure and usually pulls technology E&O into the program, which changes the pricing basis.

Security controls: multifactor authentication on all remote and privileged access, endpoint detection and response, encrypted and tested offline backups, email filtering, network segmentation, and a patch and vulnerability program. Underwriters price these directly, and missing controls can make coverage expensive or hard to place.

Revenue, contract-required limits, and claims history round out the calculation. Hospital and GPO contracts that specify a cyber limit often set the number the company must carry.

The fastest way to improve pricing is to close the control gaps underwriters ask about before going to market: turn on multifactor authentication everywhere, deploy endpoint detection, move backups offline and test a restore, encrypt data at rest and in transit, and document a written incident-response plan and a HIPAA risk assessment. A device maker that can evidence these at application time is treated as a better risk and prices accordingly.

The reverse is also true: applying without these controls is the most common reason a device company sees a high quote or a declination, so it is worth doing the security work before the submission goes out.

Cyber is one line in a device manufacturer's program, alongside products liability, general liability, and, for connected or software products, technology E&O. Sizing cyber without confirming how it interacts with the products policy (specifically the bodily-injury and cyber-triggered-event exclusions) is where device makers leave a gap. The cost conversation and the coverage-architecture conversation belong together.