Data breaches are increasing every year. IN 2013 only 33-percent of executives reported a breach while 43-percent reported a breach in 2014. As an entrepreneur, your business is just as at risk as bigger corporations, possibly more so. Traditional insurance doesn’t cover damages due to cyberattacks. What is a budding business person to do? Cyber insurance is the answer.
Doing business online without cyber liability insurance is like driving over the speed limit in traffic without auto insurance. Attacks are too prevalent to take the risk. It has been proven many times that cyber security is not keeping pace with hackers’ ability to steal electronic data. Insurance companies are aware of this. Therefore, premiums are high, but the consequences of going unprotected are far more devastating. Startups and small businesses are easy prey because they usually have softer security than big business. Prioritize cyber liability insurance.
Three things will help to decide what type of cyber insurance is best for your business.
- Checklist – First, you need to know from which dangers you need protection. Make a checklist.
- Research – Learn the ways you are vulnerable to hackers.
- Help – Ask insurance policy providers about risk management.
The start of a business is the perfect time to address cyber security issues. Install protective software and do research on business vulnerability to hackers. Protect your business further with the right insurance.
In today’s cyber-enhanced marketplace, everything is stored digitally. Even traditional storefronts keep important records stored to hard drives and cloud servers. Documents like customer records, accounting information, budget paperwork, and order confirmations are all stored in digital formats now. This turns once-merely-inconvenient issues like hard drive crashes and fried motherboards into potentially disastrous worst-case scenarios. In the event of a major data loss like this, it’s important to have cyber insurance coverage to ensure that your business continues to succeed despite your losses.
When the Worst Happens
Everyone has experienced the painful loss of a computer that just stops working. Whether the motherboard melted, the hard drive crashed, or you’ve been hit by the iconic “blue screen of death,” no computer collapse is easy. This loss is especially compounded if your computer contained sensitive business-related data that could create costly issues for your business. Even cloud-stored information isn’t safe, as it can be susceptible to breaches, or merely disappear without a trace. Cyber insurance keeps your business protected in the event of a loss. Good cyber coverage should help you handle issues like loss of revenue due to interrupted business, notifying customers or employees of breaches or losses, and even legal services if the loss was due to criminal activity like a virus.
No one wants to think about the worst-case scenario, but it’s important to be prepared, nonetheless. With cyber insurance, your business can get back on its feet quickly and seamlessly, even after a major data loss.