With the recent work-from-home guidelines during the pandemic, the use of cloud-based solutions and interconnectivity has increased, and so have online threats. Hackers launch cyber attacks every 39 seconds, per reports.
So, if you use smartphones, IoT devices, computers and other common connected systems for your Alberta small business, you are vulnerable to cybercrime. Networks and technology with inadequate security are the most at risk.
Even when you follow strict protocols, you can face data breaches, identity theft, corrupted information, malware attacks, etc. For this reason, you should have Alberta cyber liability insurance to counter these disasters.
Why Are SMBs Appealing to Hackers?
Organizations of every type and size, such as enterprises, governments, agencies, and individuals who use emerging technologies, can be victims of cybercrimes. But for small and medium businesses, the threat levels are higher because they are:
Small and medium businesses typically have a low number of employees and severe budget limitations. They invest most of the funds into business operations, which leaves a less amount for cyber security. Besides, they don’t have an in-house IT department to handle regular updates of the OS, firewall, and other software.
As a result, they don’t have a response plan that details what to do in the case of a cyber attack. Also, most companies don’t even come forward to report a cybercrime because of the huge legal expenses. Luckily, having Alberta cyber liability insurance can help recover these costs, including lawyer’s fees.
Scared of Losing Reputation
Another reason why most small businesses keep mum about a data breach or stolen information is they fear losing face in the industry. Unlike enterprises that hire PR professionals to build their brand back up in the public eye, SMBs lack such financial resources.
Hence, they choose to stay silent and not complain to the authorities. Some even put up with ransomware demands and extortion and shell out significant amounts of money to protect their reputation. They assume that they can recover the losses in the long term.
Guilty of More Human Errors
Usually, malicious activities occur in large numbers. For example, email scams and phishing attacks can use psychological exploitation and temptation of your employees. There are also not many training sessions conducted to keep the staff informed about these threats.
Added to this, small businesses don’t mandate two-factor authentication, password policies, system backups, and data encryption. Hence, there is enormous scope for human rather than technical errors that lead to data breaches and financial transaction issues.
Entryways to Large Companies
Typically, small companies are a front for large organizations or deal with vendors, suppliers, clients, and customers that use the Internet of Things. Hackers can easily find system loopholes in small business operations to take them to a more extensive network. As the weakest link in the chain, SMBs unknowingly help cybercriminals to infiltrate more secure organizations.
Suppose you use cloud services by another technology provider. But after a successful cyberattack on your company, all businesses that use the provider’s solutions can also be open to these threats and become collateral damage.
Get Alberta Cyber Liability Insurance Today!
Cyber attacks can cause both tangible and intangible damage to your business, partners, stakeholders, clients, and vendors. You should not fear reputational harm, expenses, or government penalties but instead, learn to secure your assets.
Getting Alberta cyber liability insurance can help combat these risks, and you can recover sooner if there has been a cybercrime. Call us today for quotes!