CYBER LIABILITY INSURANCE
BB Insurance: We cover what antivirus software can't
The constant threat of cyber crime is ever present and the types change daily. The only sure way to be covered against all threats is by having a proper Cyber Liability Insurance policy
What is Cyber Liability Insurance and why your business needs it
From Fortune 500 companies to small mom and pop’s, cyber liability insurance is something every small business owner needs because General Liability simply doesn’t cover it all anymore. Regardless of if or how you use and store data, if your business is connected to the outside world, your business is at risk. It’s a matter of when, not if, you’ll have a cyber security issue. This could be as simple as someone’s email getting hacked through a phishing scam or your entire database being held by ransomware, but the bottom line is the same: Your information is out there just waiting to be used by a criminal.
Most people think of physical threats to themselves or their business as the only things they need to worry about. Why? They’re easy to visualize and comprehend. The problem is the likelihood of your building catching on fire is significantly less than someone “hacking your systems,” and the cost associated with recovering from a cyber crime are much higher than you would expect. Aside from lost revenue or potential lawsuits, Cyber Liability Insurance covers things you probably haven’t considered like the legal steps required to notify your customers and clients and the regulatory fines associated with data negligence.
Here’s the good news: For most businesses and industries, the cost of Cyber Liability Insurance is minimal, and it’s easy to obtain. You don’t need a complicated policy to keep yourself covered from digital threats. You have insurance protecting all your tangible assets. Don’t slack on the intangibles.
Our white glove approach to managing digital risks:
Just like any other insurance you may have, there isn’t a “one size fits all” policy for your business or industry. While the obvious areas of your business like your website and data policies should be covered by most policies, BB Insurance will take the time to walk through all the various ways that you could potentially be exposed to a potential cyber threat and build a custom policy to fit your needs. Just like any of the policies that Bill will create for you, he will explain your coverage in a way that is easy to understand.
Cyber Crime Stats
Cyber crime is BIG business for criminals, and it’s only becoming bigger.
The global cyber insurance market is expected to grow by 21% year over year and reach $9.5 billion in 2021
The share of loss events caused by malicious data breaches was highest in the insurance sector, at 39%. The retail and wholesale industry had 30% of such losses between 2013 and 2019. IT and telecommunications, manufacturing and health care followed with 24%, 22% and 18%, respectively.
The Ponemon Institute said the healthcare industry tops the list of most expensive data breaches with a $7.13 million average data breach cost. That’s 84% more than the global average. This industry also had the highest average time to identify a violation of 329 days.
The energy industry ranked second of the 17 sectors surveyed, with $6.39 million in average cost and 254 days to spot a breach. Financial services, pharmaceutical and technology follow, with $5.85 million, $5.06 million and $5.04 million in average data breach cost, respectively.
Analyzed by geography, the United States leads all countries with an average data breach cost of $8.64 million. That’s a 5.5% increase in a year. Germany leads among European countries with an average data breach cost of $4.45 million in 2020. That’s a 7% year-over-year drop.
Who is at risk?
There are very few industries that are not at risk for this NEW world of insurance. If your business has an online presence, email, or access to third party software, you are at risk of a data compromise event. Most small business owners incorrectly assume they aren’t a risk because they’re not large enough to gain the attention of a cyber criminal. When people think of hacking or cyber crime, large banks and corporations come to mind. But the way many criminals gain access to those larger companies is through the limited security set up by small end users. Your company can be used as a stepping stone to a larger company, and you’ll be liable for any damages if so. Some examples of those at risk are:
IT professionals
Healthcare
E-commerce
Doctors
Attorneys
CPAs
Consultants
Data Centers
Telecommunications
Manufacturing
Online Retail
Why BB Insurance
With over 15 years of experience in the field BB Insurance has all of your cyber related insurance needs taken care of. BB Insurance works closely with the world’s leading carriers on the subject.
FAQ
Is it better to hire a smaller business consulting company?
Like most things in life, there are pros and cons to everything. While larger business consulting agencies will have access to a more robust infrastructure with plenty of resources, you’re working with an employee who has to deal with the bureaucracy of a large company. It’s possible they’re also trying to fulfill quotas which means your very likely being sold services you don’t need. Smaller business consulting firms will have more flexibility and be able to give you a more personalized experience, but they may be stretched thin since they need clients to pay their bills. Also, smaller business consulting firms may not have a trusted reputation that the big consulting companies do, so you’re taking a risk on that.
Do I need to hire a certified business consultant?
That’s the annoying part of doing what we do. You don’t really need to have any certifications to be considered a business consultant or coach, so there are a lot of people out there who don’t have the capabilities to consult well. What you should be looking for are consultants who are certified in particular areas that fit your needs such as project management or process improvement. You should also ask for references, and ask for case studies or white papers.
When should I hire a professional business consultant?
There isn’t a set time or size when it makes sense to hire a consulting company. It’s all about your needs and how long you need the help. Our professional business consultants have worked with solopreneurs who needed guidance in a particular topic or a better understanding of how to grow without hiring, but we’ve also worked with much larger companies who needed temporary help on a project, and it didn’t make sense to hire a full time employee. Our advice: Get clear on the pain you are looking to solve, and then hire based on resolving that pain. If you can’t solve a problem in-house, it’s probably time to have a conversation with a coach or consultant. And you should look for professionals that are going to offer the first call (or two) for free.
What’s the most important factor to consider when hiring a consulting company?
Once you’ve decided that they’re necessary or beneficial and if you’re going with a small or large business consulting firm, you should consider how well you mesh with whomever you’re going to work with. Find out about their culture and determine if it matches with yours. Get references and ask around. We live in a connected world, so it’s easy to track down the good and bad about anyone out there. All you need to do is search and ask around.
What’s the difference between a business coach and business consulting company?
It’s all about who’s doing the work. Coaches are hired to help you understand where you’re strong or may need improvement and to help you prepare to improve yourself and your business. Consultants do the work for you. You hire them to perform specific tasks. During your initial consultations, any professional business consultant or coach should be up front with what they can and will deliver.