Published on March 19th, 2013 | by Gerald Dicen
0Cyberinsurance and Its Applicability to Small Business Owners
ANONYMOUS. What could be more famous than them? The hacktivists group has allegedly been leading many cyberattacks that caused the shutting down of many websites (many of them belong to the government) and the extraction of very important and confidential data. In defense to the attacks made online, Anonymous says that that is how they push for free knowledge, anti-corruption, etc.
Although small businesses are not the usual targets of these attacks, we just can’t be lax, especially since it’s the sector that is most vulnerable of all. And besides, Anonymous is not the only existing hacktivists group. There are a lot more. There are even those who do it solo.
Image Source: guardian.co.uk
And even if from a perspective, these guys seem to have a good purpose and that as long as you are not doing anything that would agitate their anger, you are safe, who knows what’s in their minds?
The single point is: Be prepared.
Learn from the Giants
More and more big companies are applying for cyberinsurances in order to protect themselves from cyberattacks that could happen anytime. As far as statistics is concerned, from last year, there had been an increase of 33% in companies that availed of cyberinsurances. Among industries, education, professional, accounting, business, legal and personal services had an increase of at least 70%.
The above just shows two points. First, that those industries are the usual targets of these cyberattacks. And second, that there had been a growing awareness regarding it.
As cited in an article from Mashable, “’Awareness of cyber and privacy risks continue to grow, especially in the wake of a number of highly visible data breaches, hacking attacks, litigation, and increased government focus on cyber security,’ said Bob Parisi, network security and privacy practice leader for Marsh, which conducted the research. ‘As a result, companies are now looking to manage their day-to-day cyber risks in the same way they do more traditional risks—through the purchase of insurance.’”
What Small Businesses Need To Do
We are very much aware of what small businesses may be incapable of doing. Purchasing a cyberinsurance, in addition to other risk insurances, may be too expensive. Instead of protecting the continuity and productivity of the business, it might just do the other.
The following are few suggestions that could guide small businesses in arriving at a decision regarding cyberinsurances:
Know the law. It always pays to know what the law has to say about cyberattacks. Legislations could vary from one state to another. In knowing the laws, you will be better equipped with whatever programs the government is offering to protect businesses from any form of cybercrime.
Identify the areas. Cyberattacks, obviously, does not necessarily apply to all. If it does, it only poses minimal amount of danger to others. It is then important for a small business to know what areas in the business can possibly be affected. This is especially applicable to small businesses utilizing online methods for payments and others (e.g., data storage).
Apply your best judgment. After you have identified the areas that could possibly be affected, judge whether or not you badly need a cyberinsurance. If you deem it hard to do that, it may be best if you seek the advice of experts.