Despite the wall-to-wall media coverage of the recent Optus and Medibank hacks, cyber risk has been ever-present for decades. (Anyone remember the dreaded WannaCry ransomware attack of 2017, which impacted over 150,000 individuals and businesses worldwide?) As a small business owner, you might wonder, "could this happen to my business?" The short answer is, unfortunately, yes.
Today, cyberattacks have become sophisticated, involving malware, viruses, and trojans, all aimed at stealing or exploiting your data for financial gain. But don’t stress. Our insurance experts are here to break it down – the world of cyber threats has changed, but so has cyber insurance.
What cyber risks and threats should businesses worry about? There are quite a few, but here are some common ways hackers can target your business systems or swipe your client data.
Phishing, Whale Phishing, and Spear Phishing
Phishing scams are all about trickery. Scammers use social engineering techniques to extract personal and confidential information like credit card numbers, bank account details, and passwords. They often pose as legitimate businesses, such as the Australian Tax Office, major banks, or telecom companies, casting a wide net to catch a few unsuspecting victims.
Malware and Ransomware
Malware is a hacker's best friend, allowing them to access your data and monitor your activities. Ransomware, on the other hand, locks your data and demands a ransom for its release. Malware often arrives via links in emails that seem too good to pass up, like funny videos or news articles. Upon clicking the link, you may be taken to a fake website and asked to download a ‘codec’ or software to view the video. Doing this can cause your computer to become infected with the malware.
4 Ways to Protect Your Business from Cyber Risks
1. Stay Vigilant of Cyber Attacks
Always scrutinise your inbox. If an email from PayPal, Australia Post, or Visa lands in your inbox, examine it closely. Does it address you by your name or include identifiable information? Is the sender's email legitimate? Did the email get filtered to your spam folder? If there's a link, does it look trustworthy, and does it match the sender's typical communication style? If it seems too good to be true, it probably is!
2. Invest in Cyber Protection
Invest in solid virus and business system protection measures. Many providers offer comprehensive packages covering PC, Tablet, Laptop, and Smartphone security. Additionally, make sure all your devices are encrypted with strong passwords, fingerprints, SSO or PINs to keep opportunistic hackers at bay.
3. Keep Learning About Cybersecurity
Cybersecurity education is crucial. Regularly update yourself and your staff on cybersecurity best practices. Implement procedures in your business, like changing passwords regularly, securing mobile devices, and being cautious with USB sticks and data storage. Talk to your business’ IT experts about things like Two-factor authentication, Single Sign-On (SSO) and more measures you can take to protect business systems.
4. Consider Cyber Insurance
You could have every protection possible in place and still suffer a loss. It is unfortunate but no system is impenetrable; even cloud service providers have the potential to be hacked, and upon reading the terms and conditions, you may find that it is a costly mistake to assume they will cover your loss. Which is why cyber insurance is the umbrella to protect your business.
Cyber Liability Insurance will respond to claims from:
- third parties whose data has been compromised
- your costs in notifying third parties affected in a breach and rectifying the damage to your systems
- costs for forensic investigations to assess the extent of the loss
- any loss of income due to an interruption to your operations resulting from the breach.
Get in Touch with our Insurance Experts to Discuss Cyber Insurance for Your Business
Cyber Liability Insurance for businesses is comprehensive and affordable, with limits of up to $10,000,000. Get in touch to learn how we can shield your business from cyber risks. Don't wait until it's too late; safeguard your digital world today!
