The increasing online presence of business has seen a significant spike in cyber attacks. The scary thing is that if a business is not protected by insurance, it can mean the end of their business.
While I don’t mean to startle you, the threat is very real.
I had a client recently travelling in Asia who suffered a cyber attack and I saw what transpired first hand. A hacker had gained access to his personal emails and had found his email correspondence with me (his financial planner) in his sent items. The hacker sent me an email posing as my client and requesting me to transfer some of his funds into another bank account. Some of the words were spelt incorrectly in the email and the request was an unusual one from the client. I picked up the phone and called while they were overseas to query the email. The email wasn’t from him and it was from a hacker. My client was obviously distressed that his personal emails had been violated in such a way. We managed to secure his email account and change his passwords on all accounts very quickly to avoid the hacker doing any more damage. Major banks receive similar emails like this from customers. They are not unusual requests from business clients which need to transfer large sums of money.. These attacks can be significant and have the ability to severely impact the business and could even destroy the business. You may have heard about the attacks on The Red Cross, Distribute IT and a medical centre in the Gold Coast. The threat is real and can impact small and large businesses.
In 2015, the cyber intelligence agency, the Australian Signals Directorate, said attacks on business and government increased by 20 per cent compared to the previous year, to over 11,000.
Cyber insurance is probably the fastest growing insurance in the world and poor cyber security can cost companies dearly - they risk fines of up to $1.7 million for breaches of privacy alone.
What measures do you have in place to cope should a cyber attack occur in your business?
Cyber Attack Insurance covers the fines, business shutdown costs and even cyber ransom where hackers blackmail companies so you aren’t left out of pocket during the ordeal.
An insurance broker is able to give you the personalised advice that you need to ensure you receive value for money while also guaranteeing you have the right cover.