Cyber attacks are incredibly common in today’s digital age. An alarming 61% of organizations were impacted by a ransomware incident in 2020. As a business, you have insurance for a variety of potential incidents, including theft and disaster, but what about cyber security? Here’s what you need to know about cyber insurance.
What Is Cyber Insurance?
Put simply, cyber insurance is an insurance policy that helps organizations handle the fallout if they are targeted by a cyberattack or ransomware incident. Cyber insurance can help minimize the downtime an organization experiences during or following an attack. It may also help mitigate the financial impact of an attack, which can be especially beneficial if you are targeted in a ransomware attack.
Cyber insurance provides protection for businesses against losses related to their computers or network. However, as with all insurance plans, it’s important to speak with your coverage provider to fully understand what is and is not covered. And remember, having cyber insurance does not make you immune to an attack.
Who Should Have Cyber Insurance?
Any organization that has a computer network and/or stores data should have a cyber insurance plan. You are responsible for a lot of sensitive data, including the private information of your employees and customers, your intellectual property, and your financial data. All of this information is incredibly appealing to cybercriminals!
Depending on the nature of your business or network, you may also be an ideal target for ransomware attacks. These cyberattacks are designed to hold your network hostage, preventing you from accessing data and utilizing your computer systems until the ransom fee has been paid. All organizations, large and small, are potential targets for cyber criminals.
Common Cyber Liability Coverage
The details of your coverage, as well as the cost of your plan, will vary from provider to provider. However, most cyber insurance plans cover common security attacks, including ransomware, fund-transfer fraud attacks, and business email compromise scams.
The cost will vary depending on the size of your organization, but with the average ransomware payment in Q3 2021 reaching $233,817, you may consider it worth the investment.
The impact of a cyber security attack is far-reaching. Cyber insurance can protect against the financial cost of an attack, but it will not cover:
- Lost potential revenue from a negative brand image following an attack
- Lost potential revenue from the theft of intellectual property
It’s also important to know that most if not all cyber insurance companies will now only cover your business if you are proactive with your security efforts—and that’s where the IT Guardian Angels at BSC Solutions Group come in!
At BSC Solutions Group, we provide a wide range of computer services, including ensuring the required security measures are in place to get the business cyber insurance you are looking for. Call 1-(800)-958-2341 for a free consult today!