Businesses in all industries handle vast amounts of data. Whether you run a large financial services company, a medical or dental office, or a company that receives and fulfills orders from online customers, you most likely have records that include names, addresses, email addresses, financial information, and other types of data. Having all of that data can make your business the target of hackers.
Why Your Business Should Be Concerned about Data Breaches
Many small business owners think they are not vulnerable because they assume that hackers will want to target businesses with data on millions of customers. The fact is that 85 percent of data breaches affect small businesses. The results of a data breach can be devastating. As many as 60 percent of small businesses that are the victims of data breaches go out of business within six months.
How Cyber Liability Insurance Can Protect Your Business
• Cyber liability insurance can pay to restore or recreate the data in your records if that information is lost in a data breach.
• If you are attacked by hackers and they attempt to extort money from your business, cyber extortion insurance will pay the sum of money demanded.
• Cyber criminals often deceive their victims into sending money. Misdirected payment fraud coverage will pay for direct financial losses if your company hands over money because of deception.
• You have a responsibility to let your customers know if your records have been compromised and their financial information is at risk. Cyber liability insurance can pay the costs of notifying your customers if a data breach occurs.
• If your customers become victims of identity theft, cyber liability insurance will pay to help them restore their identities and credit reports.
• Your customers whose information is compromised may sue your company for negligence if you did not take the appropriate steps to keep their data safe. Network security liability insurance will pay for claims that weaknesses in your computer security made your company vulnerable to hackers.
• Cyber liability insurance can pay for lost business and public relations to help restore your image and reputation.
• You may also be held liable if information on your company’s website or social media accounts infringes on or violates someone else’s rights or defames an individual. Electronic media liability coverage will cover these claims.
Contact Petruzelo Insurance to Compare Quotes for Cyber Liability Insurance
Cyber liability insurance can provide protection from these threats. This coverage is essential for any business that collects and maintains digital records of information from customers. A cyber liability insurance policy can help your business in several ways.
Cyber liability insurance is critical if you operate a business that handles customers’ records. No matter the size of your business, you could fall prey to hackers. You can protect your business with cyber liability insurance. Petruzelo Insurance can help you compare quotes. Contact us today to learn more.