As our cybersecurity experts prepare for our free webinar this Wednesday to discuss how to qualify for cyber insurance, we wanted to provide a refresher on the types of cyber insurance available so you can determine the best fit for your organization.
But first, a start reminder about the perils of not having cyber insurance – among SMBs with less than 250 employees, the average reported cyberattack cost was about $25,600, according to a 2021 report by Hiscox, an insurance provider. That’s a sum large enough to take down a small business.
There are a variety of coverages available to protect yourself against cybercrime:
- First-party coverage – This coverage provides financial assistance to help your business with recovery costs. This type of policy can cover an investigation of an incident, risk assessment of future incidents, lost revenue due to business interruption, and ransomware attack payments.
- Liability coverage – Whether your customers are individuals or other businesses, your company might be liable to cover the damages if their information is compromised through a cyberattack on your organization. Cybersecurity liability coverage protects businesses if such scenarios occur and generally pays for attorney and court fees associated with legal proceedings, settlements and court judgments, and regulatory fines for noncompliance.
- Technology errors and omission (E&O) – This policy can protect an SMB that provides technology services when cybersecurity insurance doesn’t provide coverage. Tech E&O kicks in if an organization’s product or service results in a cyber incident that affects a third party directly.
If you are considering purchasing cyber insurance, let 2W Tech help guide you through your journey. Our team of IT consultants can help ensure all the necessary safety measures are in place, as well as conduct your required detailed analysis. Give us a call today to get started. And join 2W Tech on Wednesday for our free webinar to discuss qualifying for cyber insurance in six easy steps.