11 very good reasons to buy cyber risk insurance

Cyber-crime is already a big problem and it’s only going to get worse. Recent research has revealed that 3million British businesses suffered cyber breaches last year which cost an estimated £21billion. With over half of businesses being targeted by cyber-criminals it’s time to take-out cyber risk insurance.

Increased Crime Businesses can be targeted round-the-clock from anywhere around the world and the consequences can be catastrophic. Cyber risk insurance not only provides vital financial support, but can help with everything from legal advice to digital forensics.

Online Reputation It can take years to build a reputation and only seconds to destroy it. Online reputation is key and picking-up the pieces quickly after a cyber breach will help to rebuild trust. Cyber risk insurance will help you get back on your feet and most policies include provision for PR costs and brand management.

Everybody’s Vulnerable When it comes to cyber-crime size really doesn’t matter. It might be big businesses that hit the headlines, but it’s often the smaller ones that feel the financial blows the hardest.

Multimedia Liability Social media is a great way to generate brand noise and build business, but it’s fast and people can get furious. Remember that you’re responsible for your company’s output, and if an employee publishes a defamatory comment about a competitor or uses a photo without permission; you could be held liable.

Digital Property Your data and other digital assets are likely to be worth much more than the machines they are stored on, but won’t be covered by standard business or property insurance.

Data Security As a business owner you are responsible for keeping third party data private or you could face a costly claim. Cyber-criminals have found all sorts of ways of exploiting data from customer details to company contracts.

Business Interruption Managers often make the mistake of thinking that standard business interruption insurance will cover their costs if their computer systems are out of action. However, in most instances it won’t and that includes system failures, hacking, viruses and ransomware.

Portable Devices Increased working on mobile devices, and increased working away from the office, means increased vulnerability. Security threats come in a variety of disguises from thieves trying to get their hands on your hardware to data harvesting.

Unknown Expenses Without suffering a cyber breach it’s impossible to calculate how much it would cost to repair the damage, but it won’t be cheap.  Legal fees, regulatory fines and crisis management costs quickly add-up and could cripple a business. Cyber risk insurance is an affordable way to safeguard against unknown financial loss.

Mitigating Risk Insurance companies would rather policyholders didn’t make claims and can provide practical advice on beefing-up your cyber security. It’s an essential service for small businesses who don’t have in-house risk management specialists to rely on.

Winning Business Cyber risk insurance is now a business basic and increasingly people won’t work with you if you aren’t covered.

To find out more about cyber risk and liability insurance visit Quoteline Direct or Tel: 0161 874 7979 to speak with a member of our team.

Cyber Essentials As a leading insurance brokers you won’t be surprised to read that we take cyber security very seriously, and that’s why we’ve signed-up to Cyber Essentials. It’s a government-backed scheme (aimed at all sizes of business) that provides independent assurance that you’ve taken approved cyber security measures and met agreed standards. As a business we are proud to display the Cyber Essentials logo and recommend that all our commercial clients take similar steps by visiting Cyber Essentials.

 


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