Is your business ready to fight cyber attacks?

As technology continues to improve, so do cyber threats. Typically, with cyber security issues, micro-enterprises tend to suffer the most. In fact, studies show that about 43% of cyber threats target small businesses.

But whether you’re a small or large business, cybersecurity is no joke. With any attack, you risk losing your data and your customer’s private information. This is where cyber insurance coverage comes in. Read on to discover the top cyber threats and what the right insurance can do to combat them.

Cyber Threats Businesses Encounter

In business, data plays a crucial role. It can refer to statistics, sales, and customer information–all very sensitive data types hackers may try to access and take advantage of. To prepare your business for cyber threats, you need to understand how cybercriminals operate when stealing your data. 

1. Password Attack

With the correct password, it’s easy for hackers to get into your system. Once they have access to your data, they can do virtually anything they want with it. So you must never use weak passwords in your system. Three of the most common password attacks include dictionary attacks, brute-force attacks, and key-logging.

Dictionary Attack

Cybercriminals have many different strategies they employ to crack passwords. The most common technique is what’s known as a dictionary attack. This refers to an attempt to enter a system using all usernames and passwords previously recorded in its database. If you use a common password in your business, hackers can crack it in a matter of minutes.

Brute-Force Attack

Another way cybercriminals can access your password is by implementing a brute-force attack. This method involves hackers guessing numerous different password combinations until they hit on the correct one. Typically, they gather as much information on you as they can before attacking by farming your social media profiles for keywords.

Key-logging

The more complex method used to crack a password is key-logging. To do this, cybercriminals install an infected application in your system which helps them track keystrokes. As you log your username and password, the hacker can record each stroke you make.

2. Insider Threats

When recruiting employees, most businesses employ a thorough vetting process. However, despite undergoing a rigorous selection, you may still hire the wrong person. In cybersecurity issues, insider threats are a common problem for businesses.

Employees can serve as potential insider threats if they take advantage of their authorized access to damage the business. Oftentimes, this results in the leaking of sensitive data. Studies show that 34% of data breaches in businesses result from internal theft. When larger businesses are compromised this way, they can lose significant amounts of revenue and customers. But the impact for small businesses is often worse as it can cause irreparable damage that can result in complete business closure.

Remember, small business insurance is not enough to cover all of the damages you may face in a cyber threat. It’s important to have a policy that explicitly covers cyber liability so you can reduce the number of damages you’re liable for.

3. Ransomware

Regardless of the business size, ransomware is a serious threat. As its name suggests, it’s a kind of malware used by attackers to hold sensitive information for ransom. Often, ransomware spreads through phishing emails and the downloading of infected attachments.

For businesses, a ransomware attack is incredibly destructive. Hackers can encrypt and lock your data until you pay the ransom, and if you fail to give them what they want, they’re easily able to destroy your files.

To protect your business, back up your files and install strong anti-malware software. Further, update your devices and software programs as often as possible and invest in insurance options with the best insurance agency to protect yourself and your business.

4. Malware

As technology and security features advance, so too does malicious software. Specialized programmers have developed software systems designed to execute unauthorized access and damage secure systems. Attacks initiated by these programs come in the form of worms, viruses, and trojan horses, and each one can cost your business significant amounts of money.

Typically, these attacks are triggered when individuals click infected links or attachments that result in harmful software being uploaded into your system. Fortunately, there are many good anti-malware applications available that can protect your devices and systems no matter how big or small your business is.

5. Phishing

Phishing is a form of cyberattack that uses bait, often in the form of a malicious email, to scam people. Through deception and social engineering, attackers target the weaknesses of their victims to encourage them to share sensitive information.

They try to access financial accounts, system credentials, and other data they can make a profit from. But instead of fighting against technology, individuals face their attacker head-on making personal defense much harder

Fortunately, this cyber threat is easy to recognize, so you can train yourself and your staff to manage security information and determine suspicious activities by imposing strong security policies and procedures to prevent cyber threats.

How Can Cyber Insurance Help?

In a business, having the right insurance is necessary as it protects your operations, profits, and reputation. However, most traditional policies don’t offer protection for digital issues, so how can you avoid the damage of cyber threats?

Well, you can protect your business by training employees and updating systems regularly. However, despite taking preventive measures, cyberattacks may still happen, and as a small business owner, the challenges you face with them can be much more impactful, so you must invest in cyber liability insurance.

By getting cyber insurance, you can manage and reduce the risks of attacks while also gaining coverage that protects you from expensive costs, liabilities, and losses when attacks do happen. 

What Are the Cyber Threats Businesses Must Look Out For?

Cyber attacks will continue to rise, and businesses will suffer the most. When attacked, enterprises incur more costs, generate a loss, and lose customers. With a reliable insurance company, you can ensure additional safety of your business.

If your business needs protection, you can count on our team at Central Jersey Insurance Associates to get the best coverage against cyber threats. Reach our team any time by clicking the link here.