Find the best cyber insurance for your business

Protecting your business from cyber threats is crucial in a rapidly changing digital landscape. Cyber insurance, also known as cyber liability insurance, is a specialist cover designed to protect your business from financial losses and liabilities resulting from cyber-related incidents.

More and more businesses are now storing all of their data online. Although this is a convenient and effective way to keep data, it can leave companies exposed to the threat of cybercrime.

Cyber insurance is designed to protect your business against the risk of a malicious attack on your data. It goes beyond traditional business insurance policies that don’t usually address the complexities of cyber threats.

What does cyber insurance cover?

Cyber insurance provides cover against losses your business suffers as a result of compromised IT systems. Here are some of the things a good cyber crime insurance policy should protect you against.

Data and security breaches

A data breach is a security incident that exposes your systems or data. These can be caused by an accidental security failure or intentionally by a malicious third party.

Cyber insurance coverage should include the costs that occur from dealing with a breach, including:

• Notifying customers of a breach
• Public relations and crisis management
• IT forensic costs
• Legal fees that arise from the breach
• Costs of responding to regulatory bodies

Ransomware attacks

A ransomware or malware attack occurs when someone restricts access to your systems or data until a ransom payment is made.

Also known as cyber extortion, this cover will typically cover:

• The ransom amount demanded by the attacker
• Costs of recovering data
• Fees associated with the negotiation
• Transfer of funds

If you are the victim of a ransomware attack, you should inform the police before agreeing to pay any ransom amount. Also, speak to your insurer to understand the terms of your policy regarding ransomware expenses.

Phishing

Phishing is a social engineering attack where cybercriminals send fraudulent emails in an attempt to trick you into providing sensitive information or data.

If your business is affected by a phishing attacks, cyber risk insurance can reimburse costs associated with:

• Funds transferred as a result of fraud
• Investigating and responding to attacks
• Legal expenses resulting from phishing
• Reputational damage and crisis management

Business interruption

If a cyber attack or IT failure results in your business being unable to trade for a period of time, cyber liability insurance can cover your loss of income during this time.

This can also include cover for increased costs you may experience in the aftermath of a cyber attack, helping you and your business recover more smoothly.

Post-attack support

Most cyber crime insurance policies will include cyber forensic support. This usually includes access to 24/7 support from cyber threat specialists who you can contact in the event of an attack.

They will be able to identify the source and severity of any breach you may have suffered and help you take steps to rectify the situation or suggest ways to prevent further breaches in the future.

They can also advise on any regulatory or legal action you may need to take and how to contact customers or other third parties about the breach.

Active monitoring software

Many cyber insurers will give you access to cyber security experts and offer vulnerability assessments to help you protect your business against cyber attacks before they happen.

This can also include staff training on cybersecurity procedures and best practices, including password management.

We can help you prevent cyber attacks before they happen with active monitoring and reporting software. Our policies can include Coalition’s Active Risk Platform, which provides:

• Active monitoring to avoid risk
• Personalised alerts of potential threats
• 24/7 access to security experts.

What types of businesses need cyber insurance?

If your company uses, sends or stores any data digitally, you are at risk from cyber attacks and would benefit from cyber cover.

In fact, any business that relies on technology should consider getting a cyber insurance policy. Cyber criminals often target small companies, which are more likely to lack the preventative measures and security of big organisations, but businesses of all sizes need protection.

Businesses that handle a lot of data and operate exclusively online are particularly at risk. Data breaches or system failures for these businesses could be catastrophic, so cyber insurance would be essential for their risk management.

How much cyber insurance cover will I need?

The level of coverage your business needs will depend on several factors, including size, industry, and exposure to specific risks.

An important aspect to consider is how much it would cost to undo the damage caused by a severe data breach or cyber attack. You should look for at least this level of cover so you won’t be left out of pocket if a worst-case-scenario attack occurs.

There is no standard cover when it comes to cyber insurance, and any policy should be tailored to the specific needs of the business. That’s why we carefully assess your needs before deciding which policy and level of cover to recommend.

We have access to a claims calculator, which we can use to understand how much cover your business will need to ensure it’s fully covered.

How to protect your business against cyber attacks

Cyber insurance provides essential protection if your business is the victim of a data breach or cyber attack. However, it’s important to ensure you’re taking steps to prevent attacks from happening in the first place. Here are a few things to consider to improve your cyber security:

• Increase email security
• Implement Multi-factor Authentication (MFA)
• Maintain good data backups
• Enable secure remote access
• Update your software regularly
• Use a password manager
• Scan for malicious software
• Encrypt your data
• Conduct regular employee cybersecurity training

It’s important to make cybersecurity practices like these a natural part of how your business works. Focus on continuous learning, using the right technology to protect your systems, and planning carefully to create a safe digital space for your business, staff and customers.