What Is a Cyber Liability Risk Assessment—and Why Your Fintech Company Needs One

In fintech, trust is currency—and cyber risk is the fastest way to bankrupt it. Between SEC rules, third-party dependencies, and relentless threat actors, fintech firms face a uniquely high-stakes digital environment. That’s why more founders, CISOs, and compliance officers are turning to Cyber Liability Risk Assessments as a way to protect what matters: their clients, their funding, and their future.

At Bawn, we specialize in helping high-growth fintechs reduce cyber liability exposure—while staying defensible in front of regulators, investors, and insurers.

What Is a Cyber Liability Risk Assessment?

A Cyber Liability Risk Assessment is not just another IT audit—it’s a strategic review of how your security practices impact your financial, regulatory, and reputational liability. This is particularly vital for fintech firms navigating complex compliance frameworks and scaling fast.

The assessment zeroes in on:

• Gaps in controls that affect cyber insurance coverage and premiums

• Regulatory blind spots, especially around SEC, GLBA, and NYDFS requirements

• Vendor risk exposure from banking APIs, data processors, and cloud platforms

• Incident response readiness, including breach reporting and contractual liability

• Recommendations prioritized by business impact and insurability

Why It’s Critical for Fintechs

1. Cyber Insurance Is Changing—Fast

Insurers now expect fintechs to demonstrate mature security controls before offering coverage—or to avoid costly exclusions. A third-party risk assessment is often the starting point for negotiation. Without it, you may find yourself uninsured for key exposures.

2. You’re in the Regulator’s Crosshairs

Post-2023 SEC rules require public fintechs to disclose material cyber incidents and document their cyber risk oversight. Even for private firms, frameworks like NYDFS 500 and GLBA Safeguards Rule demand formal, documented risk assessments.

3. Your Investors Expect It

Due diligence in funding rounds increasingly includes questions about cybersecurity governance and liability exposure. Showing that you’ve undergone a professional risk assessment builds confidence and shortens the path to closing.

4. Breaches Are Expensive and Litigious

In fintech, a breach isn’t just a technical issue—it can mean class actions, regulatory fines, and damage to client trust that’s hard to repair. A risk assessment helps you plug the most dangerous holes before they become headlines.

5. It Accelerates Smart Growth

As you scale, the complexity of your infrastructure, partners, and data obligations increases. A Cyber Liability Risk Assessment gives you a clear roadmap to scale securely—without slowing down product or customer acquisition.

Why Fintechs Choose Bawn

Bawn’s approach is shaped by former FBI cyber leaders and tailored to fintech realities. We don’t just tell you what’s wrong—we help you understand how your risk profile affects your compliance, coverage, and credibility.

Our assessments:

• Map your controls to NIST CSF, CIS 18, GLBA, and NYDFS Part 500

• Highlight insurer red flags that could limit your payout or raise premiums

• Include vendor-specific insights for common fintech tech stacks (AWS, Plaid, Snowflake, etc.)

• Deliver a prioritized action plan to reduce liability while supporting business agility

Let’s Make Your Cyber Risk Defensible—Before It’s Regrettable

Bawn’s Cyber Liability Risk Assessment is built for fintechs that move fast, handle sensitive data, and want to stay ahead of the threats and regulations that come with growth.

👉 Book Your Free Cyber Risk Assessment Today