For businesses that are concerned with the integrity of their data and the overall security of their business, one of the most important tools to learn about is cyber insurance. Cyber insurance may be a critical factor in your business surviving a major data breach or cyber-attack.
Learn more about how cyber insurance can help you and your business by reading on and be sure to attend U.S. Computer Connection’s seminar on Thursday March 9, 2017 on cyber insurance.
What is Cyber Insurance
Think of cyber insurance as liability insurance for the Internet age. Doing business in 2017 means that you need to have social media, an impactful internet presence and be easily accessible to clients. However, this also means that you can be vulnerable to cyber-attacks.
Cyber-attacks can steal confidential information, release client data to thieves and can even bring down critical Internet connected resources like websites and email to a grinding halt.
Cyber insurance is your risk transference plan for the necessity of doing business in the cyber age. It can cover costs, losses and damages that your business can incur after cyber-attacks and other IT related issues.
What Does Cyber Insurance Cover
Like any insurance, the extent of your cyber insurance coverage will vary from policy to policy. Generally, cyber insurance will cover costs related to the following areas:
- Business Losses: If your company experiences losses due to network downtime, computer failures, data loss, backup recovery issues or even damages caused by reputation hits, cyber insurance can help you to cover those costs. Think of this as general liability insurance for computer systems.
- Investigation Costs: After a data breach, or other types of cyber-attacks, a forensic investigation is often necessary to track down the perpetrators. This can often involve costly private investigators and potential coordination with the FBI and other law enforcement agencies. Cyber insurance well help your business to absorb some of these expenses.
- Extortion and Lawsuits: Lost data is not a just a problem for your reputation, it can also mean opening your company up to lawsuits from parties whose data has been released. Cyber insurance can help to cover losses due to releases of confidential data or even extortion at the hands of hackers.
- Privacy Notifications: When a data breach occurs, there are laws that govern when and how affected parties must be notified. Of course, there are costs that are associated with these types of privacy notifications. Insurance will help to limit the damages due to these types of expenses.
Cost vs. Benefit
Before making the decision to invest in cyber insurance, your business must carefully plan for how much coverage you’ll need and what you’re expecting to achieve by purchasing this type of insurance policy.
Perform a cyber risk analysis and see what sorts of damages could be incurred and then tailor your cyber insurance coverage to meet your business’s needs.
Let U.S. Computer Connection Help with your IT Security Consulting
The best way to ensure that you don’t need to use your cyber insurance is to have a rock solid cyber security plan. U.S. Computer Connection can help your business by handling your security so you can continue meeting the needs of your customers.