Have you heard of Cyber Insurance?Does your business use the internet, have work smart phones and/or laptops, or even memory sticks? If you do then you have an exposure to cyber attack or breach. Cyber Insurance is designed to help protect businesses from the financial impact of computer hacking or a data breach. A data breach could be internal employees or external. Did you know that 75% of cyber-attacks come from human error ( IT Policy Compliance Group)? You most likely have Property insurance to protect against Fire and other perils. Think of Cyber insurance as protection against a ‘ digital fire’. Does your business communicate via email or text with clients and suppliers? Do you email your clients marketing material, invoices or reminders for services? Do you accept online payment or bookings? Where do you store your clients details, copies of contracts and other important documentation? If you have a smart phone, computer and or laptop – you have an exposure to cyber attacks and breaches.
- There were 10 Million Cyber attacks in in 2017 in Australia (Deloitte Consulting)
- Australia is the 5th most targeted country for cyber attacks globally. (Symantic)
- More than 20% of Australian businesses have experienced cybercrime, with 40% directed at SMEs. (DUAL)
Case Study A chain of beauty salons has digital video recorders connected to routers in their stores to protect their property. One night, around 3am, hackers attack these recorders. The salon appoints an IT consultant to examine the cyber-attack and to protect them against future attacks. Thankfully, their cyber insurance policy covers the cost of hiring the IT consultant, so they can get back to business and feel more secure.
The average cost of cyber-incidents in Australia is $276, 232 (CGU). Some Fast Facts on this ever increasing threat to Australian business.
- The Australian government estimates almost 700,000 businesses have experienced a cybercrime.
- 49% of respondents believe it’s their number one 1 risk facing their business. In Australia and it’s ranked Number 2 Globally ( Insurance Business Mag – Jan, Allianz Risk Barometer 2018).
- There are 2.2 million SME businesses in Australia. 30% of business have been attacked or had a cyber related incident in the last 12 months.