A recent report by Identity Theft Resource Center (ITRC) and CyberScout has revealed that the number of US data breaches in 2016 hit an all-time high of 1093, almost 3 every day and up 40% on 2015. The worrying statistics highlight the increasingly common risk of hacking, skimming and phishing that businesses are facing every day.
C-Level executives are being targeted for these types of attacks and many unknowingly will release sensitive information about their business. The increasingly complex nature of these attacks and the believability of the phishing scams now requires these risks to be taken seriously. A digital risk mitigation strategy should include Cyber insurance which provides first party cover such as cyber extortion, business interruption, system damage and cyber crime.
Another significant advantage of taking out a Cyber insurance policy is the incident response included in the premium which provides 24/7 service for pre and post mitigation during a crisis. Intangible assets like information and data is hard to handle and quantify which is exactly why a cyber security expert is needed on hand in case of an incident. The recent Ponemon 2016 Cost of Breach Study found that with “Incident response plans and teams in place, extensive use of encryption, employee training, Business Continuity Management involvement or extensive use of Data Loss Prevention reduced the cost of data breach.” This highlights how important it is for a Cyber policy to offer more than just a limit of indemnity and that incident response services are key to mitigating the rising cost of a data breach.
Safeonline LLP is an independent Lloyd’s insurance broker who has teamed up with CyberScout to provide complementary risk management and data breach services when insurance is taken out through our online platform. Safeonline is at the forefront of the Cyber, Technology, Intellectual Property, Financial & Professional markets in London and has expertise in developing cutting edge products which are constantly updated to meet both the demands of the brokers that we work with and the markets that we operate in. For more information please contact firstname.lastname@example.org