33 – How Does Cyber Insurance Work?
April 20, 2022
Is your business appropriately protected from cyber crime? Do you have specific cyber insurance coverage? Many small and medium businesses don’t understand the issues involved and are at risk of costly cyber attacks.
In the past, it was the mega companies that were being hacked and they had teams of cyber loss control staff trying to prevent this by designing good security systems. Now, the cyber criminals have moved to targeting smaller enterprises with less robust security. While the cyber criminals may no longer get one large ransom amount from a mega company, they may get many smaller amounts from these other businesses.
Many of these small to medium businesses don’t spend enough money on cyber security, therefore are more vulnerable to cyber attacks.
Business insurance has changed over time to include cyber insurance. Cyber security is identified as a risk to businesses. It’s just one of the many risk profiles in a business. So when your business applies for a cyber insurance policy, the insurance company will look at your IT security and this will impact your premiums. If it’s determined that you haven’t put appropriate controls in place for your risk profile, you may not qualify for insurance.
The cyber insurance policies have grown to meet the greater needs of businesses. They’re an extremely valuable policy coverage to have in your arsenal against a business risk.
The cyber security strategy for your business involves working with your IT professionals and getting appropriate cyber insurance coverage. There are many issues involved with setting up and maintaining IT systems and in determining your cyber security risk profile. It’s important to get professional IT support and to use an insurance broker so that you can get the most effective cyber security for your business.
Explore these issues and more and get your business cyber security on track.
Dave Ferris is the Senior Client Broker & Division Head (Enterprise Division) at DavelCorp Insurance Brokers. He has diverse insurance industry experience spanning over 35 years, that has included roles in Risk Management, General Insurance underwriting, Facultative reinsurance, Underwriting Agency Management and Insurance Broking.
Dave’s qualifications and experience well equip him to add significant value to his clients as a risk consulting insurance broker with a proven track record in tailoring unique risk transfer solutions for larger clients, groups and associations. https://www.riskybusiness.com.au/
Luke Iacovelli is the Sales Manager for UNITECH Solutions. He is responsible for a team of sales personnel and helps drive corporate selling of technology solutions to suit the many different clients under his portfolio. Working within the technology industry also requires constant training & personal development across the many changes faced within this sector. As the Sales Manager, Luke works closely with his Sales Team on ensuring they convey quality product knowledge and the delivery of efficient, cost effective Smart Solutions for their wide range of clients. https://www.unitech.com.au/
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