Here at Avenir IT – we often get asked questions about Cyber Insurance. Whether or not their business needs it, if it’s “worth it”, and finally if cyber insurance is necessary even though they currently work with a managed IT service provider.
The answer to all three of those questions is most definitely – YES! Let’s dig in…
What is Cyber Insurance?
Cyber Insurance provides businesses and individuals protection from cyber security threats including data breaches, identity theft, phishing, viruses, spyware and so much more. While the need for cyber insurance started in the 90’s with the growth of the Internet, it has really become much more sought-after in recent years due to the massive increase of data breaches published around the world.
Why do I need Cyber Insurance?
As a business – it has become inevitable that you are likely storing some form of information or managing some aspects of your business online (including online banking). Even though you may be investing in cyber security solutions – nothing can guarantee you 100% protection against cyber-crime, which makes the need for Cyber Insurance paramount.
Here are just a few examples of possible breaches outside of your control:
1. A malicious email may get past your email security solution and make it on to one of your colleague’s computer. Perhaps it was caused by a trusted contact that had their email account compromised. Your co-worker clicks on an attachment or a link and has now put your network at risk.
2. An employee is wanting to catch up on some work at home. Instead of using a work assigned laptop – they decide to use their home computer that unbeknownst to them is infected with a virus and stealing your company data.
3. A C-level employee has a long layover at an airport. They attempt to connect to what they believe is a secure wireless network. Turns out this wireless network is compromised, and all the information being sent and received on this network is being stolen.
Do I need Cyber Insurance even if we are being managed by an IT service provider?
The short answer is yes! Your managed IT service provider is not at all the same as cyber insurance. While it is extremely important to have a great relationship with a trusted IT service provider and invest in great cyber security solutions, it is simply not possible for your IT service provider to guarantee 100% protection against cybercrime (while still making your computers usable!).
Where your IT service provider can help is in offering cyber security training, content filtering, advanced email protection, solid endpoint security platforms and more solutions to protect and educate your staff and infrastructure. Cyber Insurance should most definitely be part of your cyber security stack -but neither can replace each other.
How can I get Cyber Insurance?
Talk to your insurance broker today and ask for Cyber Insurance. If your broker is unable to help you – let us know as we know a few amazing brokers that we love in Manitoba.
While the process of purchasing cyber insurance used to be as easy as signing a dotted line – it has recently become a little more difficult. Insurance companies will want to ensure that you have proper cyber security tools in place to make sure you are doing as much as possible to secure your digital assets and protect yourself. This is where your IT department or service provider can help you complete the survey and supplement your security stack as needed to ensure proper protection.
To recap:
- If you don’t currently have Cyber Insurance – contact your broker right away and get the process started. Like, pronto.
- Make sure to communicate the entire process with your IT team to ensure proper coverage.
- Never assume that you cannot be a victim of cybercrime – even if you’re investing in cyber security solutions. Cyber criminals are smart and are always trying to find ways to gain access to your data online.
