Examining Cyber Risks in the Business World

Major cyber-breaches have been making headlines for the last few years, with some large corporations compromised such as Target, Snapchat, Sony, and eBay. While these attacks were grand in scale, smaller companies are similarly affected during a data breach. However, as they are more limited on resources and funds, the business can be doomed by this sort of threat. In order to protect your operations, a Indianapolis Cyber Liability Policy is recommended. Let us take a closer look at the types cyber risks that threaten businesses on a daily basis.

The three main types of breaches that adversely affect small businesses are unintentional/miscellaneous errors, insider misuse and theft/loss. Unintentional errors can occur if someone inadvertently posts private information on a public forum or sends confidential information to the incorrect recipient. While seemingly petty, this information compromises security of the company in a deep way.

Misuse occurs when confidential information is purposely stolen by someone unlawfully. For example, a disgruntled employee stealing customer information, social security number and address in order to create a credit card in their name would be a perfect example of this.

Theft is obvious in that someone steals company property or computers, laptops, smart phones, etc.

In order to combat these prevalent risks, The National Law Review suggests that businesses have anti-virus software, use passwords on all devices, frequently back up data, and encrypt sensitive information transmitted electronically.

If you remain unprotected, the costs can be devastating, including, but not limited to legal advice, forensic investigation, public relations, losses to third parties, credit monitoring, notifying consumers, and penalties resulting from identity theft, says the article.

While the news may not be pleasant, failure to notify consumers of a breach within the amount of time specified by your state is illegal.

At Walker & Associates Insurance, you can rest assured knowing your business is protected with our comprehensive cyber liability coverage. We will work with you to determine your specific risk exposures and recommend adequate components to secure your operations, property, employees and more. For more information about our products and services, contact us today at (888) 760-7292.