Everyday businesses run the risk of being hacked or threatened by a cyber-attack. Whether you are a fortune 500 business or small local business your organization is at risk. Below are some quick statistics on cyber liability and the increasing risks.
Top 5 Reasons your business needs cyber liability
- Data Breaches and cyber-attacks have increased 42% in the last year alone
- 40 % of all breaches have occurred in organizations with 1,000 or fewer employees
- All Industries are vulnerable to a data breach
- The average cost of a data breach has risen to 5.4 million
- When your business experiences a breach the average cost is $188 per record
Reasons why companies fail to purchase Cyber liability Insurance
- “Only large organizations are targets” – Not true, 38% of breaches have occurred at organizations with fewer than 100 employees
- “We’ve never had an issue before” – Cyber events are on the rise, according to Symantec the number of targeted attached increased to 91%
- “We’re protected because we outsource out IT” – as the original owner of data your organization is ultimately responsible for any attack on or breach of its network, systems and information.
- “ We have State-of-the- art systems in place for security” – Technology is always changing taking the necessary precautions may minimize damages but there is always a risk of information being stolen
Estimate your exposure with a data breach calculator www.databreachcalculator.com
Overall Cyber events have become a constant reminder that nothing is safe. There are many examples on how a company can be exposed to a data breach. Sometimes breaches occur from a pure accident or lost item Example: If a laptop gets stolen or lost you face the potential of confidential information being taken.
Sources: Travelers Insurance, Verizon 2013 Data Breach Investigations Report, 2013 cost of data breach study –Global Analysis ,