Worried about cyber security for a small business in Canada? How cyber insurance can help…
Unfortunately, many small businesses in Canada operate under a false sense of cyber security. Surveys conducted by the Small Business Authority, Symantec and the National Cyber Security Alliance suggest that nearly 60 per cent of small businesses victimized by a cyber attack closed permanently within six months. Many of these businesses put off making necessary improvements to their cyber security protocols until it was too late because they feared the costs would be prohibitive. Surprisingly,
- The vast majority of small businesses do not have a formal internet security policy for employees
- Only about half of small businesses have rudimentary cyber security measures in place
- Roughly 25 per cent of small business owners have had an outside party test their computer systems to ensure they are hacker-proof
- Nearly 40 per cent of small businesses do not have data backed up in more than one location
Despite significant cyber security exposures, 85 percent of small business owners believe their company is safe from hackers, viruses, malware and/or data breaches. This disconnect is largely due to the widespread, albeit mistaken, belief that small businesses are unlikely targets for cyber attacks. In reality, data thieves are simply looking for the path of least resistance. As more and more large companies get serious about data security, small businesses are becoming increasingly attractive targets—and the results are often devastating for small business owners.
Even if you don’t currently have the resources for an outside expert to test your computer systems and make security recommendations, there are simple, economical steps you can take to reduce your risk of falling victim to a costly cyber attack.
10 Ways To Get A Handle On Cyber Security
- Train employees in cyber security principles.
- Install, use and regularly update antivirus and antispyware software on every computer used in your business.
- Use a firewall for your internet connection.
- Download and install software updates for your operating systems and applications as they become available.
- Make backup copies of important business data and information.
- Control physical access to your computers and network components.
- Secure your Wi-Fi networks. If you have a Wi-Fi network for your workplace, make sure it is secure and hidden.
- Require individual user accounts for each employee.
- Limit employee access to data and information, and limit authority to install software.
- Regularly change passwords.
Affordable Cyber Insurance Can Provide Peace-of-Mind
Cyber security is a serious concern for all businesses, large and small. In fact, according to a recent Insurance Business article, “while cyber insurance premiums appear to be expensive, they are typically much less costly than many clients believe”. 1 The current Canadian insurance market offers good value to first-time buyers of cyber liability coverage.
An ALIGNED Insurance Broker can provide more information about how you can reduce cyber security risks across your operations. Talk to one of our brokers today about how we can help you secure the best products, services and insurance solutions for your business.
Sources: 1 Insurance Business © 2012-2013 Zywave, Inc. All rights reserved. This Risk Insights is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel or an insurance professional for appropriate advice.