It’s a reality of the times we are living in today. A lot of us are working from home and that means almost everything we do includes being digitally connected. This increase in online activity also makes us more susceptible to cybercrime. These attacks that we perhaps at one time thought were not as likely to “get me” are now becoming more prevalent.
A 2019 study by CSO Magazine estimates that nearly 66% of small to medium sized businesses have no cyber insurance coverage. 66% believe a cyber-attack is unlikely. This, even though 67% reported being victims of a cyber incident. The FBI also reports a 400% increase in cyber-crime since the pandemic began this year. And the tough news, they are not going away. Now is the time to sit down (or teleconference) and review your policy with your insurance company to ensure you and your business are taken care of in the instance you are affected by cybercrime. Here are the 3 things to consider for your business.
Cybercriminals are not just after one kind of data.
Nearly 80% of cyber-attacks involve either phishing or business-email-compromise. This method simply relies on our naivety. We are often too trusting or just unaware of the tricks employed by cyber criminals.
When an attack occurs, it may be because they simply found a way to gain access and then go shopping for your valuables. Another involves a more targeted approach. Meaning they know exactly what they are seeking and, sadly, sometimes the threat is from the inside. Any connected device is susceptible and acts as an open door. Targets may include personal information, financial, trade secrets and intellectual property, espionage, product design, and staffing and salary information.
This means you’re not off the hook. If you think your content isn’t what they’re looking for, you’re wrong. Protecting yourself is necessary. The same story goes, your personal information like Social Security Numbers, birthdates, bank account information, credit card information and addresses are still highly sought after. But take note, a cybercriminals’ main goal is identity theft of individuals and businesses.
It’s expensive to recover from.
Don’t be that guy who wishes he had coverage after an incident happens. This is a time to protect yourself and be proactive. Again, in this world where almost everything is online, it’s not a matter of if, but when. Our goal for you is to be most prepared when it happens.
According to EideBailley, the average breach cost was nearly $604,000 in 2018. This average consisted of expenses related to crisis services ($307,000), legal defense ($106,000) and legal settlements ($224,000). Crisis services includes forensics, credit monitoring, notifications, legal guidance/breach coaches and other related expenses.
We are all at risk.
We’ve said it before and we’ll say it again, no one is safe from cyber-attacks. Cyber coverage is for incidents that involve electronic hacking or online activities, as well as private data and communications in many different formats.
At IBC some of our cybercrime coverage includes:
- Privacy Liability (including Employee Privacy)
- Cyber Extortion
- Business Income and Digital Asset Restoration
- Cyber Deception
- Telephone Hacking
- Funds Transfer Fraud
- Phishing
- Personal Financial Loss
- Accidental loss or damage
- Data destruction or other malicious acts
Our team of professionals is here to help you navigate through what coverage your business needs to operate efficiently and safely. And the best part? You can sleep at night knowing you, your employees, your clients’, and your business’s personal information is protected. Call us at 712-277-2424 to learn more.
