The frequency and sophistication of cyber attacks are increasing. Businesses of all sizes are at risk causing expansion of coverage with a comprehensive emergency business interruption and no escalating or ad hoc policies.
In order to secure a renewal or quote for a new business, companies must have:
- Multi-Factor Authentication (MFA)
- Closed (Remote Desktop Protocol (RDP)
- Endpoint detection and response solution
Internet Market Terms
The cyber continued to struggle in difficult market conditions due to losses and increasing systemic risk conditions but is seeing signs of moderating. Attackers will target anyone from executives to human resources, in an effort to gain access to the most sensitive information.
Preparing for a cyber attack
- Assess your company’s risks and ensure you have the right security software.
- Get staff training and send out fake phishing emails to test your workers and show them how real some attacks can look.
- Make sure you have a written response plan and test your system with common scenarios to ensure you are most effectively prepared for an attack.
The most common type of attack
social engineering, Known as phishing is how 93% of all breaches start, usually with an email or phone call pretending to be someone else. By clicking a link or opening an attachment, attackers can send malware and viruses. Employees are targeted more by phishing because they are the weakest link in IT security.
ransomware Attacks affected 51% of businesses in 2021 and most of them encrypted data. These attacks target your computer and limit access to it until you pay a ransom of an average amount of around $800,000. As the cost of ransom increases, the total average cost of a claim in 2021 was $1.85 million. Most of the time ransom is paid and data is returned. However, the costs do not end after the ransom is paid. There are losses and claim costs that add to the cost of the attack.
what should be done?
Insurance companies have begun to revise their models to take into account the increased frequency of attacks. Work with and train your employees to prevent cyberattacks from happening in the first place. Training employees to identify spam emails can be key to protecting your business again from a cyberattack. In the event of a breach, having a written and tested response plan will help the process run more smoothly.
Work with the escrow broker to develop an online strategy and policy structure.
About the author
Jay Chilton is Senior Vice President, Executive Risk, Insurance. With nearly 20 years of combined risk management experience, Jay leads the Executive Risk team focused on both publicly traded directors and employees liability, private equity, errors and omissions, internet, crime, employment practices, administrative liability and other executive management coverage. Its main responsibility is to identify and assess customer exposure and implement programs that will reduce risk. Jay is a veteran of the United States Marine Corps. He holds a master’s degree in business administration from the University of Notre Dame and a bachelor of science in criminal justice from Indiana University. Jay is a member of the American Society of Safety Engineers, the Professional Liability Insurance Society (PLUS), and the Risk Management Society (RIMS).