Understanding NIS2 Directive: What It Means for Your Cyber Insurance

What is NIS2?

The NIS2 Directive (Network and Information Security Directive 2) is the EU's updated cybersecurity legislation that came into effect in October 2024. It significantly expands the scope of the original NIS Directive.

Who Does It Affect?

NIS2 applies to a much broader range of organizations than its predecessor:

• Essential entities: energy, transport, banking, health, water, digital infrastructure
• Important entities: postal services, waste management, chemicals, food, manufacturing, digital providers

Impact on Cyber Insurance

NIS2 compliance is increasingly becoming a factor in cyber insurance underwriting:

1. Lower premiums — Compliant organizations may qualify for better rates
2. Coverage requirements — Some insurers now require NIS2 compliance for full coverage
3. Incident reporting — NIS2 mandates 24-hour incident reporting, which aligns with most cyber insurance policy requirements

What You Should Do

• Review your current cyber insurance policy for NIS2-related clauses
• Ensure your incident response plan meets the 24-hour reporting requirement
• Use our comparison tool to find insurers that offer NIS2/DORA support

Check the NIS2/DORA filter on our Compare page to find products that support compliance.