Call us today!

Phone: (512) 498-PLAN (7526)
info@planningworks.biz

Insuring Your Business Against Cyber Liability

Cyber crime can be a serious threat to businesses.

One survey found that 44% of small businesses have been a victim of a cyber-attack. And, unbeknownst to 75% of owners, business checking accounts are not protected when it comes to online hacking, unlike consumer accounts.¹

Business owners are also required to protect their customers’ personal information. In 47 states, and the District of Columbia, businesses are required to notify individuals of security breaches involving personally identifiable information.²

As evidenced by news of large-scale data breaches, online hacking has become another form of risk that businesses now face everyday. Like many risks, businesses can insure themselves against the financial damage a cyber-attack may inflict.

Cyber liability insurance may cover a range of risks, including:

  • Data Breach Management: Pays expenses related to the investigation, management and remediation of an incident, including customer notification, credit check support and associated legal costs and fines.
  • Media Liability: Covers third-party damages such as website vandalism and intellectual property rights infringement.
  • Extortion Liability: Reimburses for expenses associated with losses arising from a threat of extortion.
  • Network Security Liability: Covers costs connected with third-party damages due to a denial of access and theft of third-party information.

Cyber liability insurance is fairly new so expect a wide divergence of coverage and costs. It may be purchased separately, or as a rider to your current business insurance policy. Be prepared to comparison shop to get a better understanding of coverage and costs.

Small business owners might also keep in mind that “an ounce of prevention is worth a pound of cure.” There are steps you can take to protect your business from becoming a cyber victim.

Consider steps to protect your data.

  1. Maintain robust malware detection software and keep existing software updated.
  2. Train employees not to open links contained in emails from unknown senders.
  3. Encrypt your important data, such as bank account information, customer credit card numbers, etc.
  4. Perform a security audit.

As obvious and simple as these precautions may sound, some businesses fall victim to cyber-attacks because of their failure to take them.

  1. National Small Business Association, 2013
  2. National Conference of State Legislatures, 2015

Life and Business Strategies...Start the Journey

CONTACT US: 2700 Via Fortuna Suite 100 • Austin, TX 78746 • (512) 498-7526
Fax (512) 684-8519 • info@planningworks.biz

Investment Advisory services offered through, Waterloo Capital, L.P. a SEC Registered Investment Advisor. Securities offered through Calton & Associates, Inc. Member FINRA/SIPC OSJ 2701 N. Rocky Point Dr., Suite 1000, Tampa, FL 33607 (813) 605-0918 Waterloo Capital, L.P., PlanningWorks, Inc. and Calton & Associates, Inc. are separate entities.

A Registered Representative may only transact business in states where they are registered, or exempt from registration. Currently we have Representatives registered in CA, CO, FL, GA, IL, MN, MO, NE, NM, OH, PA, SC, and TX. If your resident state is not listed, please contact us at info@planningworks.biz. Under normal circumstances, securities licensing procedures for additional states may take 24-72 hours. We will not effect or attempt to effect securities transactions, or provide personalized investment advice to, or communicate directly with residents in a state in which a Representative is not registered.

finra_BrokerCheck_logo.png

Website Design For Financial Services Professionals | Copyright 2019 AdvisorWebsites.com. All rights reserved