5 Things You Need to Know About Cyber Insurance | Ask The Experts
Data is one of the most important resources that businesses have at their disposal. If the network gets hacked without cyber insurance companies getting involved to protect your assets, it can be a costly issue to fix. While having traditional property and professional liability insurance is always good, here are five reasons why having cybersecurity coverage is essential for business in today’s internet-connected world.
#1. Cyber Insurance Gets Business Back On Track
Getting hit by a cyber attack can be a devastating blow to your business. Lost files and stolen data may cripple operations while the theft of personal information leaves your customers at risk. Just like any other insurance program, cyber coverage limits the liability companies face when hackers do their worst. Businesses that don’t have such coverage may find themselves paying out-of-pocket as they scramble to return to business as usual.
While many IT departments feel they don’t need help from cyber insurance companies, their overconfidence can leave your business vulnerable if something were to occur. On the contrary, relying on cyber insurance instead of securing your network with proper safety protocols may help you financially, but shifting the responsibility to the insurer doesn’t cover a business’s own cybersecurity needs.
#2. Cyber Insurance Companies Have Comprehensive Coverage
Before deciding if cyber insurance is a good strategy for your business, it’s important to understand the types of damage these plans typically cover. The financial strains on a business that has been attacked in such a manner can be quite costly. Some of the most common coverages include:
Companies don’t often think about the associated repercussions of data leaks. There are high costs associated with repairing the damage done to your business as well as your customers and having a good policy can keep all of your interests protected.
#3. …But It Doesn’t Cover Everything
There are a few things that most cyber insurance companies don’t generally include on their policies. For example, your business’s brand and reputation may have suffered from the event, a situation that…
