The Reality of Cyber Security for Businesses
In the Internet-dominated business arena, companies store more sensitive information than ever before on their computers. What’s more, more laptops, tablets, phones, and hand-held devices are being incorporated into everyday work life. Surprisingly, though, a low number of businesses have not invested in cyber liability insurance to combat the potentially devastating effects of a cyber-attack. Cybercrime is a huge threat to most companies and it’s important that you protect yourself properly. Here is what you should know about cyber liability insurance.
Who Needs It?
Cyber liability insurance is often overlooked by business owners, either because they think it isn’t relevant to their company or they believe that their business is not at risk. However, if your business is reliant on computer systems or if you handle sensitive customer information, a cyber liability policy is essential.
Costs of Data Breach Recovery
If a cybercriminal gets access to company databases, they can view heaps of sensitive information, including employee Social Security numbers, credit card numbers, addresses, and more. From here, they can open and access accounts, drain money, and destroy the affected individuals’ credit. Recovering a business from such a data breach can be time-consuming and costly, not only to recover the information but to rebuild a bad reputation. Such expenses often include:
- Business interruptions
- Security updates
- Concessions to customers
- Bankruptcies and business closures
How Cyber Liability Insurance Can Help
Nothing is quite as important as securing cyber liability insurance. It is another tool that a business can use to prevent financial disaster in the event of a malicious attack. The insurance covers expenses such as credit monitoring for affected customers, lost revenue, reputation management, customer notification, and the investigation into the attack.
As we continue to rely more and more on technology and digital services, be sure to secure cyber liability insurance for your business. To get started, contact the experts at Nahai Insurance Services today.
