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Cyber Liability Insurance

Cyber Liability Insurance

I am sure we have all heard about cyber liability insurance. Likewise, I am sure we have all heard the horror stories about the huge data breaches that some large corporations have experienced (and that have maybe affected some of you reading this article). Since these large breaches get all the attention and usually affect hundreds of thousands - if not millions - of customers, many of your smaller insureds don’t think it is a risk they need to worry about.

Here are some key points from an article published by CNBC in October of 2019:

  • 43% of cyber attacks are aimed at small businesses but only 14% are prepared to defend themselves, according to Accenture.
  • These incidents cost businesses of all sizes $200,000, on average, reveals insurance carrier Hiscox.
  • More than half of all small businesses suffered a breach within the last year.
  • Today its critical for small businesses to adopt strategies for fighting cyber threats.

How many of us, or our customers, could afford to pay $200,000 out-of-pocket to cover the expense realized by a cyber attack? Very few of us. As a matter of fact, 60% of businesses victimized go out of business within 6 months of the attack.

So, what can you do? First and foremost, make sure you have safeguards in place to try to avoid the attack to begin with. Make sure you have email filtering, firewalls, and antivirus/anti-malware. Make sure you keep your computer operating systems updated. Make sure you have a plan on what to do if you do experience a data breach. Most importantly, make sure you have cyber liability coverage!

If you do not have cyber liability coverage, contact Bloss & Dillard right away. We have various markets and you can even get a quote via our Easy Rate option by calling in or quoting yourself online. Check out our website for details. If you need access to our website, please contact me at ttooley@bloss-dillard.com.

Posted by Tate Tooley, IT on Jan 22, 2020