If you were to ask any company representative if cyber insurance is worth it, you’d undoubtedly be met with a resounding YES. The potential financial havoc that a cyber attack unleashes is significant enough for businesses both large and small to actively seek out cyber insurance coverage. The question therefore isn’t whether you require cyber insurance for your business. Instead, it’s: How much cyber insurance do I need?
Just like all insurance coverages, the answer is personal. You would not pay a higher level of homeowners insurance premium for a larger house than you own; so too should you not pay for more cyber coverage than your business needs. One-size-fits-all cyber insurance does not exist, and there are ways to drive the cost of coverage down by being proactive in your security efforts.
One business may need to purchase more cyber insurance, while others may need less. An organization that deals primarily online may have more potential exposure than another, for example. To get the most cost-effective cyber policy, do not just request a quote from the Internet. Instead, trust the cyber insurance advisors at W3 Insurance to learn about your company’s risks and to help you select a policy to mitigate them.
Every day, cyber attackers become more savvy at draining company coffers. Those businesses who choose to pretend that they are not at risk stand to pay higher rates than those who actively protect themselves. Read below as we examine how cyber attack prevention can in fact be cost-effective and how a business can go about securing such coverage.
10 ways to reduce the cost of your cyber insurance policy
Think of this as akin to the ‘safe driving’ discount offered by some car insurance companies. If your business operates with safeguards in mind against cyber attack, it is possible to reduce the cost of your cyber insurance policy. By reducing your risk, you also drive the cost of coverage down.
Some of these ways include the following:
1. Multi-Factor Authentication (MFA)
Are you who you say you are? That is the simple (yet effective) impetus behind multi-factor authentication. Also known as “two step” verification, this effective means to thwart cyber attack takes the standard ‘enter username and password’ command to a new level. Sure, you will need both of the above – and then some. Often, this added failsafe comes in the form of a code that is sent to a person’s cell phone. That way, even if a password and username are stolen, the attacker is stuck.
2. Password managers
The days of the simple password are passe – pun intended. Password managers take complex combinations of letters, numbers and symbols and make undecipherable passwords that are nearly non-hackable. One of the type of cyber attack involves a hacker learning personal information about a mark on social media and then trying those elements as passwords. With password managers storing these intricate passwords, it’s not necessary to use the same one multiple times.
The days of “I hate passwords 123” should be over. Thank you, password manager.
3. Keep your employees trained and up-to-date
In the event your business suffers from a successful cyber attack, don’t point fingers at the computer, because it is likely not the machine’s fault.. Nine times out of ten, security breaches are caused by human error. Cyber attack is a very human game, after all; human error is the reason many attacks do succeed.
That’s why employee training is paramount. Have your employees been brought up-to-speed about the latest phishing attacks? Do they know not to respond to emails that demand sensitive information? Constant vigilance is required to fend off cyber attacks, and that means consistent, timely training for your employees about the latest threats and information regarding how to combat them.
4. Update your software when possible
Keep pressing ‘cancel’ when prompted for a software update? -Think again. Take a few minutes and let the software update; it most likely has built-in security protocols to protect against the latest cyber threats. Cyber attacks vary widely in their creativity and personalization; software updates can help thwart some attempts before they become a problem.
5. Invest in cybersecurity tools
When it comes to protecting your business from cyber attack, cybersecurity tools are the weapons that can keep the threat at bay. Often, they are not exorbitantly expensive, either – at least, not in comparison to how much a successful cyber attack an potentially cause your business.
Consider the list below a good start:
- Anti-virus software
- Application whitelisting software
- Intrusion detection/prevention systems
- Managed detection and response systems
6. Create an adequate response plan
Even after all your best efforts, a cyber attack may crack your defenses and affect your business. Due to the ever-changing nature of cyber attack, this is a sad reality; knowing what to do if one occurs can minimize the damage. If you suspect your business has been a victim of cyber attack, first call your cyber insurance coverage provider. Then, use your response plan to move forward.
7. Business Continuity Planning (BCP) and Disaster Recovery Planning (DRP) are your friends
Plan for the worst and hope for the best. The adage is at the heart of business continuity planning (BCP) and disaster recovery planning (DRP). Have protocols in place as backups, and should a cyber attack occur, you may be able to continue business as (almost) usual while you work to restore prior workflows.
8. Continuously monitor your systems
Understanding what is normal for your business and what is not is a surefire way to spot a cyber attack. Watch for activity that is out of the ordinary, and if you spot something unusual in your data, dig into the cause. It may well be due to user error – or it may be a cyber attack in its infancy.
9. Hire a cybersecurity expert
Overwhelmed by the concept of cyber-securing your business? Professionals can assist you in deducing your business risk and implementing tools to address it. Consider hiring an expert to be an investment in your company’s wellbeing. The time you will spend to put all these measures in place may be better used elsewhere, and, if these protections are left undone, cyber attacks can have drastic fiscal consequences.
10. Be proactive
Simply follow the above advice, and you’ll be on your way to protecting your business from cyber attack. The proactive business owner understands that if it’s possible to prepare for an attack, fortifications should be made. Act early to prevent cyber attacks in the long run. What’s more, having these protections in place can result in a lower premium. After all, such a business is less risky than one that just buys coverage but does not put any safeguards into place.
Get an affordable quote from W3
The cyber advisors at W3 Insurance can help protect your business from cyber attack. For coverage that protects your business and advice that allows for personalization of your cyber policy, trust the W3 advantage.
Cyber attack is a persistent threat. Contact us today for more information regarding how to protect your organization.