The biggest threat to small businesses today isn’t theft, fire, or even cybercrime – it’s not knowing what they’re actually covered for.
Cyberattacks, climate disruptions, and rapid digitization are exposing coverage gaps that many owners are unaware of. Nearly half of small businesses still believe they’re too small to be targeted by cybercrime, yet 43% of attacks are aimed directly at them.
This misconception is particularly concerning given the rising frequency and severity of cyberattacks. In 2023, 41% of small businesses fell victim to a cyber attack, marking a significant increase from previous years.
At ZAG Insurance (a division of Oracle RMS), education isn’t a perk—it’s the backbone of how they do business. Co-founders Daniel Grossman and John Zonio (both pictured) are reimagining what it means to be an insurance broker in an age of automation. Their approach doesn’t begin with a quote or end with a policy. It starts with a question: Do you actually know what you’re covered for?
Cybersecurity is a pressing issue. Many small businesses still operate under what Zonio, president of ZAG insurance, described as the “not me philosophy,” assuming they’re too small to be targeted. That assumption, he warned, can prove dangerous.
“Our focus has grown to making sure we are educating each client and really starting the conversation,” he said. “Traditional coverage may not address modern-day risk.”
Education, then, isn’t an afterthought—it’s foundational, as too often, clients don’t even realize what they’re missing.
“Education is the first and biggest key to offset the major risk to businesses today,” said Grossman, managing director of ZAG Insurance. “We come across many situations where a client has or had no idea about what type of coverage they have and even less idea of what coverage they are missing."
In response, ZAG positions itself as both advisor and translator. It’s about demystifying policies and eliminating friction in the customer experience.
“Everybody's looking for convenience right now,” Grossman said. “There are so many quick ways to purchase business insurance; you can do it in probably 10 minutes online.”
But that speed, he cautioned, often sacrifices understanding. That trade-off isn’t acceptable. Instead, the team prioritizes a personalized approach—something Grossman sees disappearing in an industry leaning heavily into automation.
“It's really all about allowing the clients to ask the questions that need to be asked and reminding them the questions that they should be asking,” he said.
While many plug-and-play platforms aim to simplify coverage, it's important to embrace the complexity. In cybersecurity especially, one-size-fits-all solutions fall short. Grossman emphasized the need for tailored strategies.
“We work closely with our commercial clients to customize cyber coverage that fits their industry and risk exposure,” Grossman said.
Even robust internal protections aren’t enough. Stories of large corporations with advanced security still falling victim to breaches are regularly shared.
“We follow our clients’ experiences and make sure we share those experiences with other businesses,” Grossman said.
Cyber isn’t the only risk gaining prominence. Business interruption coverage has become a recurring concern, especially as global disruptions—from supply chain issues to severe weather—continue to impact small businesses disproportionately.
“People don't know where they are,” Zonio said. “For small businesses, this affects them more than anyone.”
This uncertainty is also reshaping the insurance landscape itself. Grossman pointed to increased training and shifts in policy language as signs the industry is trying to adapt. But the pace remains uneven.
“The threats are changing and growing faster than even the insurance companies, never mind the consumers,” Zonio said.
To help bridge that gap, ZAG is investing in tools that improve accessibility and clarity. Their offerings include a 24/7 claims line, client portals, and a proprietary in-house CRM called ZAG Flow.
“We have client portals, our in-house CRM, ZAG Flow, and 24/7 claims lines to help ensure the process for all clients is seamless,” Zonio said.
Still, their goal isn’t to simplify insurance to the point of inaccuracy—it’s to make it navigable.
“Policies these days are getting more complex, with more complex wording,” Grossman said. “Ensuring our clients understand what they’re covered for is top priority.”
An insistence on human connection stands out in an industry increasingly pushing clients toward digital-only experiences. Grossman didn’t shy away from the difficulty of this approach.
“You sort of lose something there,” he said.
That “something”—the personal touch—is non-negotiable.
Their approach highlights an uncomfortable truth: Insurance only works when you understand what you’re buying. For too many small business owners, coverage is reactive—purchased in a rush, skimmed at best and misunderstood until it’s needed most. The goal is to change that script by getting back to basics.
“What happens if I don't have the proper coverage?” Zonio said.
It’s a question more businesses should be asking—and ZAG is making sure they do.
