Given the digital world that we now live in, the threat of cybercrime and cyber-attack looms large on the agenda of all businesses who make use of information technology or handle data. As a business issue it is one that can be utterly devastating if you are not prepared, given the reputational and financial implications it can cause.
Given the fact that many cyber-attacks originate from outside of the UK, in reality there’s not a significant amount that can be done by law enforcement agencies to help businesses who suffer a cyber-attack. Particularly when it comes to real world business issues such as loss of reputation or the associated financial implications. Instead, the reliance is being placed on areas such as insurance to provide help to businesses who have been the victim of cybercrime.
There is a caveat however. You need to ensure that you have the right insurance in place to adequately protect your business. Simply taking out an ‘off the shelf’ cyber insurance solution without a thorough understanding of your unique risks is not sufficient. However, a recent survey by Ovum suggest just this, with only 38% of the UK businesses surveyed stating they felt that had a comprehensive cyber insurance policy and one which adequately reflected their business situation.
If you get it right how can Cyber Insurance help?
Costs of fixing the damage – cyber insurance can provide financial support to repair or replace your systems and restore the integrity of your security following a hack or ransomware attack
Costs of the attack – cyber insurance can provide the support to investigate and communicate a data breach, cover costs of claims brought against you for not maintaining the security of your data or provide cover for any potential ransom demands that may arise.
Business interruption – Having cyber insurance in place can provide cover for the business interruption costs you may suffer if your business isn’t able to operate at full capacity following an attack
Support – it can also help mitigate any reputational damage that may arise from an attack or data breach, giving you the support needed when it comes to crisis management
Ultimately, your insurance provider or broker should be able to work with you to understand your business and help ensure you are taking adequate steps to protect yourself – prevention is always better than cure!
At Anthony Jones, we work tirelessly to understand your business in relation to your insurance needs. In today’s environment it is so important that you don’t simply assume that your current business insurance will provide you with cover. Talk to us today about cyber insurance or if you want more information download this guide to cyber insurance.