There are stories about data breaches in the news almost every day. Cyber criminals steal sensitive data, costing businesses millions of dollars in fines, legal settlements, and internal costs. Many people think only large companies are targeted, but this simply isn’t true. No business is too small to be affected. Thankfully, cyber security insurance is available to protect your company in the event of a cyber attack.
How Does Cyber Insurance Help?
Cyber security insurance covers a broad range of claims. These include:
- Professional services that deal with extortion threats
- State-mandated notification to customers whose data may have been compromised
- Retainment of a public relations firm to mitigate damage to your reputation
- Business losses due to a downed network or interruption in service
How Can I Determine if Cyber Insurance Is Right for Me?
Ask yourself the following questions:
- Does my business keep a database that stores personal information about clients?
- Does my business conduct online sales?
- Does my business digitally store employee data such as social security numbers or other bank account information?
- Does my business rely on technology for every day operation?
If you’ve answered “yes” to any of these questions, consider a cyber security insurance plan. Just one breach can do serious harm to your business’ bottom line.
As any business grows, its needs can dramatically change. In this day and age, many businesses have an urgent need to keep up with the world’s growing reliance on technology. However, the more your business builds its presence on the internet, the greater the risk of potential cyber attacks. Cyber security insurance can help protect against these, so here are some of the best reasons you should consider it.
1. Attacks Are Getting More Advanced
Phishing emails (emails that attempt to scam recipients into providing personal or financial information) continue to appear more legitimate, which makes them difficult to detect. In addition, attackers are always improving their tools, so today’s anti-virus software may not protect against tomorrow’s hacker.
2. Cyber Crime Is Expanding
Cyber crime is no longer limited to lone hackers sitting in their own basements; major operations have developed and are often able to pour large amounts of money and time into implementing large-scale cyber attacks. These attacks target both large and small businesses as the information stolen can often be valuable regardless of the source.
3. Cyber Attacks Are Expensive
Cyber security insurance is more important now than ever because of the extensive costs involved when a business falls victim to a cyber attack. Clients must be notified and assisted with credit monitoring, business processes are interrupted, and your company’s overall reputation may be damaged.
Cyber crime is a significant threat to any modern business. However, the right insurance can ensure a company is prepared for and protected against these types of attacks.