20 Jan 5 Reasons Why Your Business Needs Cyber Liability Insurance in 2022
It seems like every day there are more internet threats popping up, right and left. Hackers disrupt entire websites, leaving people unable to shop. They attack whole networks, knocking thousands of sites offline for hours or days. Some have even started holding certain networks hostage, refusing to release them from their code-based grasp unless a specific amount of ransom is paid.
With all this cyber craziness on the rise, how can you protect your business and its information from these hackers? The short answer is cyber liability insurance. Here are 5 reasons why you need to protect yourself and your livelihood.
1. Small Businesses Are Often Targeted
While the cybercrimes that make the news are those that effect large companies, the ones that don’t end up in the headlines, like those targeting small businesses, still need to be prepared for. Small businesses, most of which don’t have the right kind of cyber protections and security measures in place, are targeted by hackers seemingly every day. In order to protect your information and cover any losses, cyber liability insurance is a must.
2. Coverage Is Pretty Affordable
Unlike other types of insurance, cyber liability insurance is pretty affordable. For a type of insurance that covers lost income, ways to let your clients and customers know what happened, and even legal and public relations assistance, the price is worth it. When you think of how much you can lose or pay out of pocket should an information breach occur, it’s clear that you can’t afford not to have cyber liability insurance.
3. You Need Coverage, Just in Case
The entire reason for purchasing insurance is to cover those “what if” moments. You need to have cyber liability protections in place for the same reason that you have standard insurance coverage on your warehouse or company building. The day that something happens is too late to get the protections that you need. Don’t wait for a hacker or group of cyber criminals to target your company’s information. Purchase your coverage as soon as possible, just in case.
4. The Cloud Won’t Protect You
You may think that having your company’s information in the cloud will protect it from getting breached. Unfortunately, this isn’t the case at all. In many of these cyberattacks, the problem comes from within, when someone who works for the company clicks on the wrong link or accidentally allows hackers to gain control of their passwords. Not only can you have your computer system taken down in the incident, but you can also lose access to the cloud and all of your data as well.
5. You Don’t Want to Lose Your Business or Its Assets
When the news of hacking incident gets out, companies tend to lose business. People stop patronizing that online store or clients decide that their personal information is at risk, so they find someone else to hire. Cyber liability insurance can cover any of the losses from the reputation damage that your business receives, allowing you to stay open and operating while you regain control of your systems and your reputation recovers.
When it comes to cyber liability insurance, start off 2022 on the right foot – with the protection you need so that you focus on growing your business instead of worrying about the next ransomware or cyber-attack.