22 July 2021
Does Your Business Need to Consider Cyber Insurance?
Cybercrime is on the rise, with data breaches, ransomware attacks, and phishing attempts a huge concern for Australian businesses. Many organisations are now looking to cyber liability insurance to minimise their risk of loss.
What is Cyber Insurance?
Cyber insurance helps business recover in the event of a cyber event. While there are a variety of policies available, many will provide coverage for:
- Protection against revenue loss
- Response costs to get business back up and running
- Public relations and crisis management costs
- Protection against third party liability
How secure is your business?
Many insurance companies will want to know you are compliant from a security point of view and may ask if your business:
- encrypts sensitive information stored on portable media devices or laptops
- has access control procedures and hard drive encryption to prevent unauthorised access to your databases and servers
- has Multi Factor Authentication enabled for remote access including for Microsoft Office 365 (if used)
- conducts phishing exercises/training with your employees
- has back-ups completed on a weekly basis, stored off-site, and stored separate from your corporate environment
- has firewalls and anti-virus in-place and they are updated in line with software recommendations
- has a patch management policy that adheres to a regular 30 day patch cycle
- applies critical patches as soon as possible and no later than 14 days from release
- has at least two members of staff review and authorise any transfers or funds, signing of cheques (above AUD 10,000) or for the disbursement of assets, funds or investments
- verifies all requests to change customer/vendor/supplier details by confirming via a trusted source or existing contact information previously provided and on file
- has multi-factor authentication activated for online banking software or systems that are used to perform wire or banking transfers
It is important to do your homework and understand what the policy will and will not cover, so talk to your insurance broker to find out more.