Cyber Crimes & Data Breaches - Are You Protected?

Cyber Security Awareness Month directs our attention to one of the fastest growing threats to businesses and their clients. Often in the headlines, cybercrimes and data breaches are increasing in frequency, sophistication and variety.

Smaller to Mid-Sized Businesses Targeted More Frequently

It's more important than ever, for business owners of all sizes that store sensitive client information, to become educated on how to protect their businesses and their clients. Cybercrimes and data breaches are certainly not limited to larger companies. In fact, smaller to mid-sized companies are being targeted more frequently because they are often more vulnerable and easier to penetrate. It's no longer a matter of if it will happen but when. The financial impacts can be significant and the fall out can be far-reaching.

Traditional Liability Insurance Not Designed To Respond

When technology fails, businesses often turn to their insurance protection for recovery. Unfortunately, some business owners find out when it's too late that traditional liability products are not designed to respond to purely financial claims. In addition, policies that do include enhancements for cyber-related damages are often very limited.

How Can Business Owners Protect Themselves?

Even if your business has security measures in place to help prevent these crimes, risk mitigation through specialized insurance coverage is more than a smart investment; it should be a critical portion of any business recovery plan. Business owners should consult with an insurance professional possessing experience with this type of risk. Business owners should discuss things like, the different options available for protection against cybercrimes and data breaches, how cyber liability insurance works, specialized policies vs. policy enhancements, safeguards to prevent these crimes and, the actions to take if a crime should take place. A knowledgeable and trustworthy insurance professional that has your best interest in mind will be happy to spend time explaining these things to you.

If you haven't had a consultation on cybercrimes and data breaches and how you can protect your business and your clients, you could be putting everyone at risk. Don’t find out when it’s too late that you’re not protected.

For questions related to this blog, please call V.F. McNeil Insurance (203) 481-2684 and/or visit us online at www.vfmcneil.com. We are always happy to help.