With cyberattacks on the rise, protecting your business against extensive losses with a data breach incident is essential. Cyber liability insurance provides the required coverage to help businesses overcome and sustain through this challenging period.
Continue reading to learn more about the growing importance of cyber liability insurance, including liabilities you may face with a data breach, and ways to prevent cyberattacks.
All businesses, regardless of their size, need cyber liability insurance. Whether you own a global company or a small shop, you must have this insurance coverage. Today, all-size businesses use technology in their operations. Nowadays, increased incorporation of technology has benefitted businesses in several ways but has considerably exposed them to increased cyber liabilities. Let’s learn about the importance of cyber liability insurance.
Besides providing you with much-needed financial security after a data breach, cyber liability insurance also offers the resources needed to handle the liabilities. The coverage includes customer notifications, credit monitoring, and legal fees and penalties.
Small businesses are more vulnerable to data breaches as their financial resources are limited. As a small business owner, you invest more into establishing and expanding your brand. It often leads to your business's cyber data security system being compromised.
Reports show that out of 43% of cyberattacks on small businesses, only 14% have a robust cybersecurity system. This gap leads to small businesses being an easy target for cybercrimes.
A cybersecurity breach occurs when a third-party intercepts sensitive or confidential information from the system without your knowledge or authorization. The breached data usually includes names, addresses, phone numbers, credit card details, driver's license numbers, health records, and social security numbers. The breach can be performed in several ways, from damage to your security system and phishing scams to ransomware.
A cybersecurity breach may impact your business in several ways, such as:
You can prevent your business from data breaches or any other cyber-attack by inculcating the below-mentioned factors into practice:
Securing your business from cyberattacks is vital for any business owner. It is advisable to have adequate insurance coverage to safeguard you from potential damage in cyberattacks. For more information on cyber liability insurance benefits, seek consultation from Humble Insurance Group. Contact our team at (425)- 226- 8221 to help you get comprehensive coverage at the best price.
