Insure Against Cyber Risk

In our continuing series on Cyber Risk, we thought it would be interesting to see what the potential cyber risk is with the new Australian Privacy Principles and its implications for small business.

Are we prepared

90 % of private companies don’t have insurance against cyber risk,  that’s one of the findings in Chubb 2013 Private Company Risk Survey. That means the uninsured companies will have to foot the bill if the are found liable for loss as a result of cyber crime, or data breach.

So if your cloud computing company is breached you may find your self ultimately liable for the loss of data .

Australian Privacy Principles

The National Privacy Princibles (NPP) will be replaced by the Australian Privacy Principles (APPs) on 12 March 2014 the change includes civil penalty regime for breaches of privacy. Click here for a copy of the privacy fact sheet

APP Privacy principle  8—cross-border disclosure of personal information, will require your clients information held on servers in countries is at least substantially similar to the way in which the Australian Privacy Principles protect the information.

Where is your data held? And how does your cloud company protect it?

You could simply call Salesforce, Google, Jive Software, Demandware or Xero and ask which country your data is stored in or backed up in, as long as that country meets the similar privacy standard to Australia your fine.

Steps that may help your company

  • Develop an Incident Response Plan (IRP)
  • Encrypt Portable devices
  • Assess cloud services providers’ data security
  • Get Cyber Liability Insurance

If you are still unsure, speak to a specialist, get them to review your potential risks and possible mitigation.

Steve Sloan
steve-sloan-insure247

Steve is a licensed insurance broker and marketer. He is an internet insurance pioneer in Australia.

Cyber Risk Trends

Where is your exposure
Cyber Threat

Any advice that may have been given is general advice only, please be aware that we have not taken into consideration your needs, objectives or financial requirements. Before deciding to purchase a financial product you should consider the appropriate Product Disclosure Statement to ensure the product is suitable for your needs.

First Published on GreatChoice

The importance of cyber insurance

Why is cyber insurance important?

Cyber-attacks or data breaches can take many forms, from deliberate attacks to technology issues or simple negligence. As modern business is reliant on computer systems and networks, a breach of data or a shut-down of service can have a major impact on your business with many small businesses unable to operate afterwards.

Cyber Insurance can help in the event of a breach

Small businesses are particularly vulnerable to cyber-attacks of all kinds and it can be very costly. Aside from the cost of notifying your customers, you may also face costs for PR, credit monitoring, investigations response and compliance related activity, compensation for affected customers and engaging experts.

Most of these costs aren’t covered by normal business insurance, which is why it is important to speak to your insurance broker to make sure you are covered in case of a breach or attack.

Information provided by Know Risk.

Click Here To Compare Cyber Insurers

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Please note that any advice given has been provided without taking into account your objectives, financial situation or needs. It is also based on information we have obtained from you. You must ensure the information is accurate and complete. Otherwise, this advice may be based on inaccurate or incomplete information. You should consider whether the advice is appropriate in light of your objectives, financial situation and needs

 

What Is Cyber Crime

In basic terms, cyber crime is a blanket term for any type of activity of a criminal nature that is carried out using a computer and/or the internet.

Cyber crime includes all of the following:

  • Identity theft
  • Cyber stalking
  • Use of malware
  • Use of viruses
  • Computer and network hacking
  • Online scams
  • Phishing scams
  • Fraud
  • Information theft
  • Extortion
  • Identity theft

When you consider that almost all businesses have an internet presence or make use of the internet in their everyday business dealings, it becomes pretty clear that cyber crime presents a risk to even the smallest businesses. And criminals don’t necessarily need to hack your systems to commit cyber crime; if they manage to get their hands on a laptop, iPad or mobile phone belonging to your business (either because it has been stolen or left unattended), they have easy access to your information and are able to more easily commit their crimes.

What does cyber insurance cover?

Although policies will vary between insurers, a typical cyber insurance policy is designed to help you with both preventing breaches in the first place and dealing with them if and when they occur. Cyber insurance policies usually include the following:

  • The cost of restoring or recreating electronic data following a breach or leak
  • Forensic services to investigate a breach
  • PR coaching in the event a breach harms your business’s reputation
  • Assistance guarding against data breaches, hacking and employee error
  • Guidance on how to respond to a breach
  • Funds to cover the adverse financial effects related to a breach
  • Funds to cover any fines that might be payable following a breach

Source Knowrisk.com.au

Click here to Compare Cyber Insurance

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Please note that any advice given has been provided without taking into account your objectives, financial situation or needs. It is also based on information we have obtained from you. You must ensure the information is accurate and complete. Otherwise, this advice may be based on inaccurate or incomplete information. You should consider whether the advice is appropriate in light of your objectives, financial situation and needs. Please read the Product Disclosure Statement and contact us if you require any clarification
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Claims Scenarios

Cyber Insurance Claims

Lost Laptop

A laptop containing lists of customer and personal contact information is left on the bus, possible cyber claim.

Claim for client designs destroyed in virus attack

Customer designs are compromised after a work colleague opens an email that lets a virus into the network.

claims

Patient personal information

IT infrastructure has been accessed and a copy of all of your patient records may have been obtained.

Unauthorised sale/use of sensitive information

A Customer alleges that a failure of your IT system has led to financial information being obtained and ultimately leading to their credit rating being impacted. On investigation, an employee has copied these records and passing them on to a criminal gang who have been committing credit fraud.

Extortion attempt

You receive an extortion e-mail. It is clear that if you don’t comply with the demands, your business will be impacted.

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Compare Cyber Insurance Quotes from leading Australian Insurers like AIG, Allianz, Brooklyn Underwriting, Chubb, Dual, Emergence and Zurich

Cyber Insurance Comparison

Please note that any advice given has been provided without taking into account your objectives, financial situation or needs. It is also based on information we have obtained from you. You must ensure the information is accurate and complete. Otherwise, this advice may be based on inaccurate or incomplete information. You should consider whether the advice is appropriate in light of your objectives, financial situation and needs

Lets Get You Covered

Insure 247 Australia

Lets Get You Covered

The Insure 247 Team is here to Help with your business insurance needs, our team of specialist are experts in small to medium enterprise (SME) insurance. As well as your business needs the team can also look after you and your family’s needs.

Evitz Nutritional Pty Ltd t/as Insure 247 Australia ABN 72 100 138 725is an Authorised Representative of Ausure Pty Ltd ABN 94 096 971 854 AFSL 238433

Is Cyber Insurance Compulsory?

Is Cyber Insurance Compulsory?

Cyber Insurance is not compulsory in Australia

The importance of cyber insurance

Cyber-attacks or data breaches can take many forms, from deliberate attacks to technology issues or simple negligence. As modern business is reliant on computer systems and networks, a breach of data or a shut-down of service can have a major impact on your business with many small businesses unable to operate afterwards.
Cyber Insurance can help in the event of a breach
Small businesses are particularly vulnerable to cyber-attacks of all kinds and it can be very costly. Aside from the cost of notifying your customers, you may also face costs for PR, credit monitoring, investigations response and compliance related activity, compensation for affected customers and engaging experts.

Mandatory breach reporting creates cyber-insurance imperative

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Compulsory

If you are still unsure whether your policy covers this scenario speak to one of Insure 247’s brokers on 1300 046 787

1300-Insure

Please note Cyberliabilitycomparison.com.au Insurance News is an information service sometimes provided by third parties Insure 247 Australia doesn’t warrants the accuracy of any information contained there in, readers should make their own enquiry’s before relying on information in the stories Terms of Service

Compare Australian Cyber Insurers

Please note that any advice given has been provided without taking into account your objectives, financial situation or needs. It is also based on information we have obtained from you. You must ensure the information is accurate and complete. Otherwise, this advice may be based on inaccurate or incomplete information. You should consider whether the advice is appropriate in light of your objectives, financial situation and needs