Why “Mostly Secure” Is Costing MSPs More Than $3 a Month

MSP owner viewing a unified cybersecurity dashboard that replaces multiple security tools and reduces alert fatigue.

A Real MSP Ransomware Lesson (Names Changed)

Most ransomware stories don’t start with bad intentions or lazy IT.

They start with good MSPs trying to be reasonable.

Recently, we helped one of our MSP partners—let’s call them ABC IT—recover from a ransomware incident at one of their client environments.

Like most incidents:

  • There was downtime

  • There were tense conversations

  • There was reputational damage

Thankfully, backups worked, and data loss was minimal.

But here’s the part worth talking about—because this incident was predictable.

The Setup: Two Security Standards Inside One MSP

ABC IT is a capable MSP doing many things right.

For over a year, they’ve been using our advanced AI-based security stack with 24/7 MDR/SOC for about 70% of their clients.

Results?

  • Strong protection

  • No major incidents

  • High confidence in the platform

They know it works.

However, the remaining 30% of their clients were still on a different security solution.

Why?

Because that solution was $3 cheaper per endpoint.

Not because ABC IT trusted it more.
Not because it performed better.

But because they couldn’t convince those clients to pay $3 extra.

The Common MSP Compromise

To manage the risk, ABC IT did what many MSPs do:

  • They documented the gap

  • They asked clients to sign a Risk Acceptance / Refusal Waiver

  • They moved forward

From a legal perspective, this feels safe.

From a business and reputation perspective, it rarely is.

Because when a cyber incident happens, clients don’t say:

“Well, we signed a waiver.”

They say:

“Why didn’t you protect us?”

What Actually Happened

The ransomware incident occurred inside the 30% segment—the clients not covered by 24/7 MDR/SOC.

ABC IT had backups.
They restored data.
They did everything right after the incident.

But recovery still meant:

  • Unplanned downtime

  • Emergency work

  • Stress for the MSP team

  • Damage to trust

The MSP absorbed the cost—not just financially, but emotionally and reputationally.

The Conversation Most MSPs Avoid

When we reviewed the incident together, we had a very direct conversation.

If you know a solution provides meaningfully better protection…
and you know it reduces incidents…
and you know it saves your team time…

Then the real question becomes:

Who are you protecting by keeping the cheaper option?

We suggested a different approach:

If clients won’t approve the extra $3, consider absorbing part of it as an MSP.

Yes, the math hurts:

  • 500 endpoints × $3 = $1,500/month extra

But compare that to:

  • Incident response time

  • Recovery labor

  • Client dissatisfaction

  • Reputation damage

  • Lost referrals

The cost of prevention is predictable.
The cost of incidents is not.

Partial Fix, Partial Risk

To their credit, ABC IT took action:

  • All servers were moved to 24/7 MDR protection

  • Endpoints, however, remained on traditional AV

It reduced risk—but didn’t eliminate it.

And ransomware doesn’t care which layer you partially secured.

The Bigger Lesson for MSPs

This story isn’t about one MSP.

It’s about a decision almost every MSP faces:

  • Do I standardize on the best protection?

  • Or do I fragment my stack to avoid uncomfortable pricing conversations?

Risk acceptance waivers may protect you legally.
They do not protect your reputation.
They do not protect your weekends.
They do not protect client trust.

A Question Worth Asking Yourself

As an MSP owner or leader, be honest:

  • Are you struggling to convince clients to pay $3 more for complete protection?

  • Are you relying on waivers instead of prevention?

  • Or are you absorbing small costs to protect long-term trust and peace of mind?

There’s no judgment here—only reality.

Ransomware doesn’t target contracts.
It targets gaps.

And gaps are almost always known before they’re exploited.

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