Dan Maloney, managing director at Champion Insurance Group, explains how to protect your business from the consequences of a cyber- attack.
In current times, it is crucial for all businesses, regardless of size, to be aware of cybercrime. Although the media tend to focus on cases involving large scale corporations, such as the 2015 TalkTalk data breach, this doesn’t mean that smaller businesses aren’t at risk.
The government-commissioned Cyber Security Breaches Survey showed that almost a third of micro/small businesses have suffered a breach or cyber-attack during the last 12 months. Unfortunately, we have found that small and medium sized businesses are particularly vulnerable to cyber attackers, who capitalise on their perceived lack of resources.
Most businesses rely heavily on their digital systems and the consequences of having your systems compromised can be catastrophic.
Think about what would happen if your data was stolen, or if someone could access your customers’ personal details. Since the rollout of GDPR legislation, small businesses have the same responsibilities as large businesses in relation to personal data, with significant fines for data breaches.
In cases of cyber extortion, businesses are targeted by hackers who disable business files, demanding a ransom for their return. Who would you call, and would you pay? Plus, without access to your IT systems, how could you keep your business ticking over?
Champion Insurance Group is part of the wider Champion Group and can offer Cyber Insurance from a panel of insurers to cover small businesses against the risks of cybercrime.
Chartered by the Chartered Insurance Institute, we have been supporting SMEs for the last 10 years, assessing the risks affecting small business, and we have seen a growing demand for cover against cybercrime.
Our affordable cyber insurance allows you to keep your business running in the event of a cyberattack, covering against a variety of situations, including:
- Financial Crime – your business bank account being targeted by hacking or phishing.
- Business Interruption – lost income or additional expenses incurred as a result of downtime after a data breach.
- Ransom – hackers stealing or encrypting data and demanding funds.
- Regulatory Issues – fines and penalties if deemed non-compliant with GDPR as a result of cybercrime.
- PR Costs – to manage reputational damage caused by a breach.
- Reinstatement Costs – costs associated with rebuilding servers and reinstating data following a breach.
- Accidental Loss – accidental loss of data, followed by legal action brought against you by affected parties.
With hackers becoming increasingly sophisticated, managing your cyber security is something that business owners simply cannot put off. Being uninsured can be a costly mistake, leaving you open to financial, legal, operational and regulatory risks.
Champion Insurance Group Limited is authorised and regulated by the Financial Conduct Authority. Company Registration Number: 07180321 Registered in England and Wales.