Data Breaches can happen at any time to any sized business. Take Equifax for instance. Equifax is a global information solutions corporation with more than 10,000 employees worldwide. In 2017, they suffered a massive data breach involving the exposure of sensitive personal information belonging to over 140 million Americans.
Data breaches are very serious, especially this one. Whether it is a large company like Equifax, or even a small company the result is the same: costs and legal fees. Surprisingly, more than half of the small businesses in the United States have experienced data breaches and many of them have had multiple. A breach can put your customers and even your employees at risk. It can also ruin your business’s reputation.
The best way to avoid the major consequences a breach brings is to obtain cyber insurance. Cyber insurance is designed to protect your business’s financial liability concerning customer or employee confidential information. By this point you might be wondering what exactly cyber insurance covers. Besides legal fees and other expenses, cyber insurance tends to help with:
- Making customers aware of the breach
- Recovering the stolen data
- Fixing any damaged computer systems
In the case of Equifax, they did in fact have cyber insurance. If they hadn’t, the consequences would have been even more detrimental than they already were. Purchasing cyber insurance will reduce headaches if a breach at your company were to occur.
If you have any questions, please don’t hesitate to contact us.