Storage Business Owners Alliance
(248) 254-9000
Login  |  Join Now!
Twitter - Follow us on Twitter! Facebook - Look us up on Facebook! LinkedIn - We’re Linked! YouTube -
Three Ways to Protect Your Business from a Data Breach
Posted 2/5/2019
 
print this article print    Email A Friend email    Share with Twitter   Share with Facebook   Share with LinkedIn   Share with del.icio.us   Share with Newsvine   Share with Reddit   Share with StumbleUpon   Share with Technorati  

Did you know there were 560 million cyberattacks last year? That equates to 18 victims per second and a whopping 1.5 million victims per day.

Your customer's data can be stolen within minutes of a cyberattack once a hacker gains access to your network. We have all heard about recent large corporate breaches that happened at places like Target and Home Depot. However, 62% of all cyberattacks happen to small and mid-sized businesses.

Often, despite a company’s best IT precautions, a hacker gains access to information when employees unknowingly open phishing emails, use common passwords or mishandle client-sensitive information.

The biggest threat to a small business owner, just behind weather and natural disasters, is a cyberattack.

The costs associated with an attack are significant and increasing each year. In fact, 60% of companies go out of business because they are unable to recover from a single cyberattack. Educating your employees is a major step in protecting your business and your customers from a data breach. Your employees are the defense and having correct insurance coverage is important as well.

A standard Business Owners Policy (BOP) policy does not include coverage for a data breach or cyberattack. The best way to protect your business and clients is by adding the following endorsements onto your BOP policy.

#1 - Cyber liability coverage is a custom policy that includes first and third-party coverages. It is customized to your business needs based your operations and exposures.

#2 - First-party coverage applies to the loss of or damage to your own data that is caused during a data breach. The most common first-party coverages are notification costs, the expenses to notify your clients that you have experienced a breach.

#3 - Third-party coverage involves your liability to your clients or the government and regulatory entities. The most common third-party coverages are the damages paid to a third party because of a breach.

First-party loss examples include:

  • Computer forensic investigation
  • Crisis management
  • Breach notification
  • Credit monitoring
  • Identity theft remediation
  • Public relations
  • Data ransom and cyber extortion
  • Business interruption and income

Third-party loss examples include:

  • Legal fees to defend you in a lawsuit
  • Regulatory fines and penalties
  • Unauthorized access
  • Intellectual property loss

As we kick off a New Year, it is a great time to look at your cyber awareness and protect your business. There are many tools and services you can use to protect yourself against a data breach. They can be found through your existing insurance brokers or other business relationships.

Provided by Bryan Mosser, Vice President of Sales and Marketing for Cornerstone Insurance Producers.

Featured Vendors:
Contact us
News - Storage Business Owners Alliance

Storage Business Owners Alliance
30665 Northwestern Highway
Suite 100
Farmington Hills, MI 48334 USA
www.thesboa.com

Phone: (248) 254-9000
Fax: (248) 538-4327
Email: info@thesboa.com