When you protect others, you have to protect yourself. It’s the same for your business. Cyber liability insurance is one of the most powerful tools to shield you.
In this day and age, technology is an enormous factor in the establishment, continuance and success of countless businesses. As technological innovations have been arising and flourishing, people’s needs, interests and standards of living are shifting. Due to that, the world of businesses sees the inevitable necessity to catch up and stay updated. Many enterprises nowadays can’t go on without technology because it’s where they begin in the first place.
Consumers are online, so it would be a huge advantage for businesses to also be online. Numerous great opportunities await for every enterprise that properly makes use of technology and the Internet, however, weighty cyber risks must not be overlooked. Lots of entrepreneurs just enjoy the convenience and productivity that the virtual world offers without being aware of how their businesses could be thrown down by crippling cyberattacks.
Cyber liability insurance (or simply cyber insurance) is the weapon that will defend your venture against computer and Internet-related losses and issues. Regardless if it’s an accidental doing or a targeted attack, cyber insurance can be of tremendous help!
Now, some businesses do not know or are not sure whether or not they must avail this business insurance. If you are one of them, this list is specifically to help end your curiosity and to aid you in making the right decision. Here are 6 proofs that your business STRICTLY needs cyber liability insurance! Read on.
1 – YOU USE COMPUTERS AND MOBILE DEVICES FOR BUSINESS OPERATIONS.
In the modern set-up of businesses, it is always noticeable how computers play a significant role. Whether it’s a fast food restaurant, a clothes boutique, a wallpaper supplier, a bookstore or whatever, there’s a computer that makes operations smoother, more efficient and possible.
If your business essentially uses one or more digital devices like desktop computers, laptops, tablets and mobile phones, it surely needs cyber liability insurance.
The size of your business does not really matter because both big and small businesses are targets of cyber criminals; the same thing with the industry. In case your company’s electronic gadgets get stolen or destroyed, your insurer may recompense. Any business which utilizes digital equipment and computer systems with the Internet must get this business insurance.
2 – YOU HAVE A BUSINESS WEBSITE AND/OR A SOCIAL MEDIA PAGE.
A business website and a social media page are two popular instruments that help brands become known and well-known. Creating a business website is not very difficult anymore because many digital marketing agencies provide web creation and web design services. Easier than that is opening a social media business account; anybody who has a Facebook, Twitter or Instagram account can create an online shop!
Does your business have a site and/or a social media store? If yes, then it needs cyber liability insurance.
These online platforms are at risk of hacking, viruses and ransomware which can financially drain your enterprise. Consider copyright infringement and plagiarism concerns as well. Some variations of this business insurance covers website media content accountability. When your business has an online presence, it becomes a candidate for cyber attacks, so cyber insurance is definitely a must-have!
3 – YOU HAVE A BUSINESS EMAIL.
Emails are important to businesses, particularly when it comes to sending and receiving important information. They are also the grounds for many business advertisements and promotions. What you must always be careful of though is that emails are used by cyber attackers to trick businesses too. If you have a business email, cyber liability insurance is a chief necessity.
Among the most common cyberattacks involving emails is phishing. The assaulters try to deceive the victims into sending pivotal details like passwords. They may also invite their prey to mouse click or tap a link that will expose, trespass or ruin computer systems.
Business Email Compromise attack is another damaging strategy that aims to rob money from businesses by fallaciously persuading someone inside the company who has access to finances to send them to the attacker’s account. The assailant does research to use a reputable person’s or group of people’s credentials to trick the target victim from the company itself.
Owning cyber insurance is a clever and crucial form of protection in any of these email-related invasions.
4 – YOU ACCEPT DIGITAL PAYMENT.
If your business accepts digital payments as an official business deal with customers, don’t think twice about acquiring cyber insurance. Get it! This business insurance is for ventures that bear debit and credit card transactions and contain payment card details.
Cyber liability insurance caters to financial expenses in case you get threatened by attackers to close your system, thus lose access to your business’ online finances or in case you get thieved. If you are insured and you refuse to pay the ransom, the cyber insurance provider assists you, compensating recovery costs and income loss aftermath.
5 – YOU HANDLE PRIVATE MEDICAL DATA.
Medical data is confidential personal data. If you are a business that handles such, cyber insurance will help you take care of your clients’ space and privacy.
Since healthcare professionals and medical institutions store patient records which are not to be disclosed, their files are at risk of attacks whether for personal motives or business matters. These records can be used to shatter reputation and to interrupt medical services and other processes that rely on them.
This business insurance will help victims of data breach and identity theft to recuperate from the attack while it pays for legal spendings and wage losses. Meanwhile, it helps the victimized company to notify involved patients and to manage public relations matters.
6 – YOU CARRY CLIENTS’ FINANCIAL RECORDS.
Companies that carry clients’ financial data are often the victims of ransomware attacks. These attacks force the prey to pay the ransom money, so they can get the decryption key and gain back access to their funds and clients’ financial data. They are used to steal financial information which will enable the attackers to know how much money is in the clients’ accounts, to rob them or to divulge confidential numbers. Truly, these attacks are very dangerous, and the companies have a big responsibility here.
Cyber insurance covers monetary losses after funds transfer fraud and malware like the one mentioned above. Accountancy firms, banks and non bank financial organizations need it, but know that as long as you are a business that people trust to keep their money for themselves, you absolutely should possess this business insurance. You store names, bank account details, dates of personal transactions and other information related to these? You need cyber liability insurance!
Actually, wise clients look for insured financial institutions before entrusting their money to them, so if you have cyber insurance, you will be on their list!
Without a doubt, there are heartwarming shots for businesses today because of the advancements in technology. Yet even if that’s the case, you must never ignore the possibility that this cyber setting may also present some cyber safety pitfalls. Dangers of hacking, data breaches, malware, phishing, cryptojacking and more cyberattacks are extremely threatening for all businesses. They can totally wreck hard-earned progress if not immediately paid attention and action.
Cyber attackers are becoming braver as they formulate more detrimental menaces against enterprises with online and digital usage. Because of that, business owners must be wise, informed and alert in protecting their businesses, their workers and their clients. Cyber liability insurance is what you need to be certain that your business will be completely safeguarded in case of a cyberattack.
ABOUT THE AUTHOR:
Nicole Ann Pore is a writer, an events host and a voice over artist. She finds quality and well-researched writing as a worthwhile avenue to enlighten and delight others about things that matter. For her, it’s restoring and fulfilling to the heart and a great way to clear the mind while loading it up with fresh learning. Film critiquing and filmmaking are among her interests too. Giving all the glory to God, Nicole graduated Cum Laude from De La Salle University Manila, Philippines with a Bachelor’s Degree in Communication Arts.