{"id":2845,"date":"2019-03-28T08:57:03","date_gmt":"2019-03-28T13:57:03","guid":{"rendered":"https:\/\/www.stratospherenetworks.com\/blog\/?p=2845"},"modified":"2019-03-26T17:37:01","modified_gmt":"2019-03-26T22:37:01","slug":"why-businesses-need-cyber-liability-insurance","status":"publish","type":"post","link":"https:\/\/www.stratospherenetworks.com\/blog\/why-businesses-need-cyber-liability-insurance\/","title":{"rendered":"Why Businesses Need Cyber Liability Insurance"},"content":{"rendered":"

\"Cyber<\/a>At this point, rapidly evolving IT security threats<\/a> are no longer something any business can take lightly or ignore. In 2019 so far, as of March 11, there have already been 101 data breaches, according to the Identity Theft Resource Center<\/a>. With thousands of new malware variants emerging daily, it\u2019s extremely difficult to keep up and safeguard sensitive information.<\/p>\n

If you haven\u2019t already experienced a data breach, you probably will soon. No one is safe. The majority (58 percent) of small and midsize companies report experiencing a data breach during the past 12 months, according to the 2018 State of Cybersecurity in Small & Medium Size Businesses (SMBs)<\/a> report from the Ponemon Institute and Keeper Security.<\/p>\n

The best course of action is to adopt a proactive approach to security and safeguard your IT infrastructure<\/a> with solutions<\/a> such as security risk assessments, next-gen managed firewalls, network and endpoint managed detection and response<\/a> (MDR), and more.<\/p>\n

However, implementing these solutions isn\u2019t the only action you can take to mitigate the fallout of a potential data breach. It\u2019s also wise to consider cyber liability insurance. If you aren\u2019t already familiar with this type of insurance, here are the answers to some common questions that can help you determine whether it would benefit your business.<\/p>\n

1. What is cyber liability insurance? <\/strong>Essentially, this type of insurance covers property losses and liability that might occur when your organization participates in tech-facilitated activities, such as collecting data or selling things online, according to the International Risk Management Institute<\/a>.<\/p>\n

The coverage typically includes (but isn\u2019t limited to) liability for a data breach in which sensitive information (e.g., clients\u2019 credit card numbers) gets exposed or stolen by cybercriminals.<\/p>\n

2. What specifically does cyber liability insurance usually cover?<\/strong> Generally, it covers various costs associated with a data breach. That can include expenses related to the following, according to Nationwide<\/a>:<\/p>\n