Most small businesses are already familiar with more traditional types of insurance coverage, but not so many are clued up on the increasingly vital coverage provided by cyber insurance.
Studies have shown that small businesses are being targeted more frequently by malicious web users; from an 18% target rate in 2011, studies now show a 43% target rate. With that in mind, it’s clearly important to protect yourself by switching to a managed IT service to ensure full coverage and the latest security software. Unfortunately, there’s no such thing as a full-proof security network, which is why some of the most successful and vigilant businesses and organisations in the world have been successfully targeted.
That’s why you need to consider cyber insurance to provide coverage if the worst should happen. One of the main reasons why people fail to understand its importance is that it can be hard to really quantify the value of data. However, data is actually incredibly valuable to most small businesses. Losing all your files can mean significant downtime, and some data can be impossible to recover. Your downtime and the projected losses can be recouped if you have cyber insurance.
But that’s not all that you’ll find yourself covered for. If you experience an attack, you may find that your physical hardware needs to be replaced. Additionally, you may find yourself saving regulatory fines. It’s not something that many people think about, but you can be held legally accountable if you failed to take proper precautions when handling someone else’s data. Whether it’s the personal details of customers or information provided by clients, you can face severe legal issues if that data is stolen by an outside party. Some types of cyber insurance even cover the costs associated with informing customers of the loss of their data.
Protecting your business means turning to the best when it comes to cyber security, but that doesn’t mean you can forget about the need to invest in cyber insurance. If you haven’t already considered it, take the time to think about whether it might be right for your business.