Cyber Liability Insurance is a service more and more insurers are offering, but is it just a waste of money? The word insurance makes people cringe. It presents the age old dilemma: Are you risk averse enough to pay for something you’re not sure you’ll ever actually need? Is it a scam? Or is it worth it?
What is Cyber Liability Insurance?
Cyber, or Privacy, Liability coverage mitigates the risk of damage to your business from electronic security breaches and physical document theft. It allows you to limit your exposure in the unavoidable event of a breach.
Many think that privacy losses will be covered by traditional General Liability or Property policies, however that is not the case.
Do I Need It?
James Comey (FBI Director) stated there are two types of companies, “those who’ve been hacked…and those that don’t know they’ve been hacked.” No location, industry, or organization is bulletproof when it comes to the compromise of data.
“Not only are cyber criminals going after the large corporations, they are also targeting the small mom and pop operations that are more vulnerable to intrusion.
Most businesses don’t think much about the issue of cyber security until they experience suspicious activity with their websites.
And by then it may be too late to prevent theft or other damage.” (Business.com)
“Any organization that stores and maintains customer information or collects online payment information, or uses the cloud, should consider adding cyber insurance to its budget. Also consider the proliferation of devices that now connect to business networks — there are simply more opportunities for malicious folks to access an organization’s assets.
Attacks against all business are increasing. Small businesses tend to think they are safely tucked away from exposure, but Symantec found that over 30 percent of phishing attacks in 2015 were launched against organizations with less than 250 employees. Symantec’s 2016 Internet Security Threat Report indicated that 43 percent of all attacks in 2015 were targeted at small businesses.” (CIO.com)
While Great Lakes Computer provides a range of products designed to protect your data, like 24/7/365 remote monitoring, antivirus, and automated backup, you can’t be protected against all intrusions. Breaches occur in many ways, from phishing attacks to lost laptops.
Cyber Liability Insurance covers the huge costs of a breach, including:
- Credit monitoring
- Forensic investigations
- Legal services
- Downtime / Business Interruption coverage
- Repair Services
- Crisis Management (keeping the incident out of the public eye)
- E-commerce extortion coverage
- And many other unexpected expenses
Learn more about Cyber Liability Coverage offered through Great Lakes Computer.