You may not want to know the answer to that question. But if you’re just a bit curious, consider visiting privacyrights.org/data-breach. What’s surprising is how many of the data breaches occur at smaller organizations which you do not see in the headlines. The information on this site should serve as proof that when it comes to the safety of personal data, businesses big and small must be on alert!
Privacy breaches and cyber-crimes are rapidly growing. Examples include: theft of a business’s intellectual property, the creation/distribution of viruses and malicious code, and the publishing of private data in a public forum online. Business owners may struggle to keep up with these often-sophisticated threats. Such threats place a tremendous burden on business owners to prevent these losses. Many states have turned to legislation that requires business owners to spend money notifying consumers when a potential breach has occurred.
Protecting Your Business. Why Coverage is Critical.
Data breach and cyber insurance is designed to protect a business when costs are incurred due to a breach. Business owners should note that common insurance policies such as property, and general liability often restrict – and in many cases exclude – privacy and cyber-related damage. Business owners beware: You should be skeptical of enhancements to such common policies designed to address the cyber exposure. These so-called “cyber enhancements” are often very limited and should not be relied upon without thorough examination of an insurance professional.
If you’re a business owner, threats to your data come from a variety of sources. Whether you’re the victim of a random hack, disgruntled former or current employee, angry competitor or anyone else, a data breach or cyber-crimes can seriously damage your business. Worse, if the crime results in a breach of private consumer data, state law may impose significant fines that could devastate your firm’s bottom line. Employers Mutual and The Hartford have introduced Data Breach coverage options for their businessowners’ package policy. Stand alone policies are also available from several markets. Call us to discuss coverage options.