As a smaller business you may think you have less to lose or that you're less of a target, but that's simply not true. Below we'll discuss some of the impacts of cybercrime and what you can do to reduce your risk.
The Many Impacts of Cyber Attacks
In 2017 the average cost of a data breach for small to medium-sized businesses was $117,000. For a business on the smaller end of the spectrum that number could be a death sentence. Even if you could absorb the cost, why would you want to?
The costs of a cyber attack can stretch far beyond the initial monetary cost as well. You have to consider the potential cost of lost business, the tarnishing of your brand, insurance premium increases and much, much more. A study on the true impact of cyber attacks determined that the damage can take many forms and be felt for years.
Cyber crime is simply not something you can afford to take a chance with. You need to reduce your risk and there are two ways to do that: smart business practices and cyber insurance.
Smart Business Practices can Reduce Risk
The key to reducing incidents of cyber crime is to approach things from a risk-based perspective. Some businesses treat cyber security as just another issue of compliance. As long as you're meeting all the regulations and checking off all the boxes you'll be fine, right? The truth is you need to do more than the bare minimum.
Keeping your software up to date is likely one you've heard before, but it bears repeating. Cyber criminals typically exploit old and well-known vulnerabilities in software and these are usually patched up pretty quickly with version releases. It's not always easy to switch your software to a newer version but it almost always results in a reduction of cyber risk.
Finally, make sure you always back up important data. One of the most profitable methods of attack from cyber criminals is ransomware. Ransomware is malicious software that is designed to encrypt your data, meaning you can no longer access it. If you want this data back, you'll have to send them money for a decryption key.
Smart business practices like these can indeed reduce your risk of becoming a cyber attack victim, but they can never eliminate it entirely. If you want to be fully protected you need cyber insurance.
Protect Your Business With Cyber Insurance
There are a variety of ways that your network infrastructure can be exploited and even a business with fantastic cyber security could be blindsided by a particularly smart hacker. Cyber insurance is designed to protect businesses from attacks like these and reduce the overall financial impact.
Every business will have its unique vulnerabilities and there are several types of cyber insurance. At Summerlin-Roberts we perform a personalized risk assessment to find out where your weaknesses lie and determine the right kind of cyber insurance for you. Please contact us today to learn more about our cyber insurance and cyber risk assessment.