Why buy a cyber insurance policy?April 25, 2018
We’ve all heard the staggering losses suffered by major companies attacked by cyber criminals. But did you know that small businesses also are in the crosshairs? In fact, nearly 55 percent of small businesses report having experienced a data breach of some form. A cyber criminal attack can hurt your reputation, your employees, your customers and your bottom line.
Cyber criminals often use malicious software to infiltrate a company’s data files, and then steal sensitive client data such as Social Security or credit card numbers. In some cases, the criminals ransom the data, demanding a payment to return the data or unlock your files. If you collect and store client data of any kind, you are vulnerable.
General liability policies generally exclude cyber liability and even an E&O (errors and omissions) policy will not provide protection for cyber liability. What can you do? To protect your business’ liability interests, it may be necessary for you to purchase a cyber insurance policy.
Cyber insurance can help your company recover losses such as these after a cyber attack:
- Lost revenue
- Data loss or destruction
- Business interruption
- Equipment damage
- Legal fees
- Forensic analysis
- Public relations
- Legally mandated notifications to clients
A cyber insurance policy helps cover the cost of notifying your customers of the data breach and helping to restore personal identities of those customers. It also can help with recovering data that has been compromised and repairing the damage to your computer systems. Some cyber insurance policies offer credit monitoring services to your clients after a data breach has occurred.
Interested in protecting your business against the damage of a cyber attack? Let us know. http://accurateprotection.com/This entry was posted in Uncategorized. Bookmark the permalink. ← Continuity planning essential for businesses Do you need a business interruption insurance policy? →