Did you know that any business connected to the Internet, even for a short amount of time, is at risk of exposing sensitive information? The costs related to a data breach – regulatory compliance, lawsuits and even the loss of customers – can put a small or medium-sized company out of business. Yet 95 percent of small business owners do not have cyber liability coverage. Where does your business stand?
Why Your Business Needs Cyber Liability Coverage
- You are legally responsible. Most companies handle data and personal information on a daily basis. If any of that data were to become public or given to the wrong people, your company would be liable.
- Don’t rely only on vendors. Placing information on the cloud or relying on your vendors to be compliant with security standards isn’t enough. In the end your company is responsible.
- Traditional insurance policies fall short. While an insurance policy may cover some things related to a cyber attack, it most likely doesn’t cover everything. For example, data may not be considered tangible property under some policies, and therefore not covered.
- We are all human. And we make mistakes. Human or system errors are the biggest threats to network security. Cyber liability coverage provides peace-of-mind that if a breach occurs, your business is protected.
- A breach can cost you everything. Do you know what a data breach could cost you? Lawsuits from customers, cost of regulatory requirements, attorneys, credit monitoring, etc. can add up quickly – and might put you out of business.
- Being prepared. In addition to covering your business in the event of a data breach, cyber liability insurance can help you be prepared. Many policies offer assistance and risk management services before a breach even happens. And if the worst happens, you know your business is covered.
For more information about cyber liability protection, contact your Meyer Insurance agent.
Source: Grand General Agency (thehelpfulpeople.com).