In the face of escalating cyber threats, biBERK Business Insurance urges every business owner to confront the risk of cyberattacks head-on. With cybercriminals employing sophisticated methods such as phishing, ransomware, MITM attacks, and brute force attacks, small businesses are not immune. You can find a link to their full guide, a very good primer, at the end of our summary.
Contrary to the belief that only large corporations fall prey to cyber threats, small businesses are increasingly targeted due to perceived vulnerabilities in their cybersecurity defenses. Recognizing this, biBERK emphasizes the critical need for businesses of all sizes to fortify their defenses.
Cyber Insurance: A Shield Against Financial Fallout
While proactive cybersecurity measures are essential, biBERK introduces an additional layer of protection through their coverage. This financial safeguard shields businesses when hackers compromise their network, steal sensitive information, and commit fraud. Protection covers costs arising from data breaches, including notifying affected individuals, legal reviews, and potential lawsuits.
What is Cyber Insurance?
Also known as cyber liability insurance, this coverage addresses the aftermath of a successful cyberattack, protecting businesses from the fallout of compromised sensitive data. In a hypothetical scenario of a data breach, businesses face immediate costs, including customer notifications, legal defense, and potential damages. Without protection, these expenses become a financial burden on the business.
Coverage Highlights
biBERK cyber insurance policies offer cost-effective protection, covering response costs categorized as first-party and third-party expenses. First-party response expenses include notifying affected individuals, providing services, securing public relations, and conducting forensic IT and legal reviews. Third-party response expenses cover legal defense and liability costs ordered by the court.
Exclusions and Costs
While biBERK comprehensively covers many aspects, certain expenses are not included. These exclusions range from business interruption losses to technology errors and omissions claims. It’s crucial for businesses to understand the coverage details. The cost of a biBERK cyber insurance policy ranges from $85 to $200 per year on average for base coverage, with low down payments.
Protect Your Business: 8 Steps to Cybersecurity
Acknowledging the importance of proactive measures, biBERK outlines eight steps for businesses to reduce the risk of cybercrime. These include creating a cybersecurity plan, regular evaluations, defending technology, implementing multi-factor authentication, keeping antivirus software updated, data backups, ensuring secure data sharing for remote employees, and employee education.
FAQs on Cyber Insurance Coverage
Common questions about cyber insurance, such as the types of businesses that need it and the claims process, are addressed. Notably, any business collecting sensitive information should consider cyber insurance.
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