Despite the industry you work in, or the type of company you work for, you could face the risk of a network security breach. The storing of personal information of clients, patients and employees could be open to identity theft, as well as unauthorized use of confidential information. Valuable information such as tax identification numbers, credit card numbers, bank account numbers, medical history, and more are all at risk. Cyber liability insurance is a must for all firms in order to protect against this growing exposure.
Exposures, losses and the potential costs
State laws mandate businesses to notify anyone whose private information may be at risk after a breach occurs. This can be a costly undertaking, not to mention the damage that will result from the negative impact that such an event may cause. If your company has sensitive confidential information on its computers, servers, and laptops, as practically every company does, what steps are being taken to prevent a theft from occurring?
Threats exist, both from unknown parties, as well as from within. Dishonest employees looking to profit from the theft of credit card numbers, and other valuable private information are often the culprits when a company has a breach of this nature.
Many companies rely on the Internet for business transactions
Do your company’s revenues, as many do nowadays, depend on the ability to transact business via its website? An important step in combating cyber theft is for the company to have a policy and procedure related to managing private and confidential information.
Most businesses today have cyber-related risk exposure and corresponding financial risks that are not covered under their traditional business insurance policies, raising the need to know how to best protect your organization against them.
There is no standardization related specifically to cyber liability insurance coverages. Thus, coverage for cyber-related losses will vary from one insurance company to another. Speak to a reputable agent to better understand your exposures and secure coverage to aid when a theft occurs.