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Why You Need Cyber Insurance This Year

By December 28, 2020Insurance

The Covid-19 pandemic may soon be over, thanks to the rollout of multiple vaccines. But in its wake, the risk of cyber-related attacks now looms larger than ever.

Cyber attacks aren’t a new threat, but they are growing in scope especially now that so many businesses are still operating in “work-from-home” mode. If you think it won’t affect you unless you’re a large business, think again. A lot of small and medium-sized organizations assume that attackers only target larger companies. Initially, that was the case. But big business has wizened up and is now better protected. As a result, hackers are now finding that smaller firms are easier targets.

There were nearly half a million ransomware incidents (which occur when hackers demand payment to get your systems back up and running again) globally last year, with associated costs of over $100 billion. And that’s just ransomware. Email phishing and DDoS attacks that shut down your website are also among the most common attacks, as the below chart from Coalition Insurance shows. The frequency of business email compromise attacks has surged 67% from 2019 to 2020.

Blog - Why You Need Cyber Insurance This Year

Like facing any other threat, you need to have solid preventable measures in place. But you also need the appropriate cyber liability insurance in case it does happen to you, and to make sure that your insurance provider has the correct resources to handle cyber attacks. That means having a crisis response team which pursues the attackers, triages the damage, and maximizes the recovery of your funds and/or data.

At Team & Total, that’s where we come in. First, we help you review your existing commercial insurance to see if you’re adequately covered in the event of a malicious attack. Then we look to cyber insurance, which can provide additional coverage for the cost of restoring data and equipment, informing clients of a data breach, and even meeting ransom demands.

This can offer huge peace of mind for your business, for not a huge additional cost. Simply ask for a quote or shoot us a message, and let us help now before yet another financial calamity strikes.