All businesses, whether or not they operate online, face a certain level of cyber risk. During the last year itself, cybersecurity incidents impacted 21% of the entire business population in Canada.
It is a matter of time until a simple system hack can bring down their business operations to a grinding halt. Still, many don’t consider getting cyber liability coverage.
Having cyber risk insurance protects your company or business financials and safeguards the private information of employees and clients.
Secure Your Business Against Substantial Cyber Attack Losses
Let us assume that most of your operations occur offline, and yet, it is pertinent that you have cyber risk coverage.
You probably use technological tools to store inventory information and suppose an employee makes an error in updating the data. Your business could be facing potential attacks like corrupting record data to stealing funds, and identity theft.
Cybercrime happens in many forms like:
• E-commerce extortion
• Security breach
• Unauthorized fund transfer
• Ransomware attacks
• Computer fraud
• Social engineering
These everyday technology issues are becoming more resistant to anti-spam, antivirus, and malware detection software. The results could be devastating and lead to business interruptions or shut down. A cyber risk insurance policy helps you respond to these threats in a minimum amount of time and get your business up and running again soon.
Cyber Insurance Coverage
Once hackers get hold of sensitive company information, there is no telling what can follow. Since there is no national boundary for the world wide web, your business may have cyber risk exposure from domestic sources and overseas.
It could lead to severe business losses, legal charges, defamation, investigation, and security audits. Cyber liability insurance covers all of these and more, such as:
• Crisis Management
• Computer Program Restoration
• System Damage
• Technology Errors and Omissions
• Privacy Liability
• Network Security
• Media Liability
• Court Expenses
Additional Services
Another critical component of keeping your business out of the hands of hackers is an incident response (IR) plan. It is a resilient blueprint of how to defend your assets following a cybersecurity incident. This IR plan has all the necessary instructions to help you deal with the after-effects of a data breach and minimize damage.
IR plans include technology-centric tools and covers HR, public relations, finance, suppliers, partners, and other entities. Instant response after a significant cyber breach is imperative to protect your organization. However, most business owners may not be aware of who to call and what to say.
With your cyber risk insurance, you also receive additional services in the form of incident response coverage. Breach notification, legal, and crisis communication are some of the services automatically included in your policy.
How to Get Cyber Risk Insurance?
Conventional insurance policies like general liability don’t provide cyber risk protection, but you have to opt for it as an add-on. Cyber liability insurance products can be customizable and scalable per your business needs.
Consider working with an insurance broker that can assess the true exposure risk and determine the best package for you. At Beneficial Insurance Solutions, we help you land a specialty cyber risk insurance policy with reasonable rates from top providers.
Sources:
www.ctvnews.ca/sci-tech/ransomware-demands-estimated-to-have-cost-hundreds-of-millions-of-dollars-in-canada-in-2020-report-1.5407727#:~:text=A%20Statistics%20Canada%202020%20report,reported%20these%20incidents%20to%20police.