Does a Small Business Really Need to Worry About Cyber Security?

Does your business need Cyber Liability Insurance?

Cybercrime is now a crime we are seeing with regularity, and a data breach can completely shut down a business.  It can damage a business’ reputation, expose it to liability, and interrupt business operations. Check your policy to see if you have Cyber Liability Insurance.

Cyber threats include:

  • Malware: Malware is malicious software that is designed to damage servers, computers, networks, and computer systems.
  • Phishing: Phishing occurs when cyber attackers use benign-looking emails or websites to collect sensitive information or to infect a computer with malware. Most phishing emails appear to be sent from a legitimate source. When recipients click on a link or open an attachment, a malicious code is run, infecting the computer.
  • Ransomware: Ransomware is a specific type of malware that infects a computer and restricts a business’ access to its own system unless a ransom is paid.
  • Viruses: These are harmful programs/malware designed to spread from one computer to another and to connected devices. Their purpose is to give cybercriminals access to your entire system.

You’ve convinced me. How Does Cyber Liability Insurance Work?

We represent more than a dozen insurance companies, all of whom have their own cyber liability insurance packages. We will sort through the coverages offered and see what works best for your small business. Most of the companies offer these two types of insurance:

  • First-Party Cyber Liability Insurance which pays for the immediate costs your company incurs as a result of a data breach or cybercrime, such as repairing damaged hardware and software, lost income due to business interruption, public relations and marketing responses to safeguard your company’s reputation, and more.
  • Third-Party Cyber Liability Insurance which helps your company defend against lawsuits and claims by third parties. It covers your attorney fees, court costs, and any damages you are required to pay. Third-party cyber liability coverage helps protect your company against breach of privacy lawsuits filed by customers or employees, copyright infringement, libel, slander, and other media liability claims, fines from regulatory agencies, and more.

In addition to first and third-party liability coverage, some insurers offer risk mitigation services. These services are designed to help your company identify cyber threats in advance, so you can avoid them.

Do you want to talk about Cyber Liability Insurance? Call us!. We are prepared to search for a package that best protects you at a competitive price.