Is Your Business Protected From Cyber Risk?

Small businesses have long represented the backbone of America, since the days when mom and pop ran the shop around the corner. Unfortunately, with their limited finances, the overwhelming majority of small firms—83 percent–report they do not have a formal cyber security plan in place to offer protection from cyber risk, despite the fact that these firms often rely on the Internet to conduct their business. Is yours one of them?

Consider that electronic threats are a never-ending source of problems for businesses everywhere of every size. Attacks in recent times have compromised data or caused service interruptions for some of the largest and seemingly most secure businesses in the nation, such as several financial institutions. If companies of this magnitude are feeling the effects, how are the “little guys” ever going to stand a chance against these electronic marauders? The potential for financial devastation is great: One prominent electronic security firm reports that small businesses in the U.S. faced hundreds of millions of e-attacks in the first few months of 2012 alone, and criminal activity is only getting worse. Unfortunately, when an attack successfully penetrates a small business, the average cost of damages can amount to nearly $200,000, an overwhelming expense from which many small businesses cannot recover.

To help combat this problem, the Federal Communications Commission (FCC) has recently launched an online resource for electronic security plans that small businesses can customize to fit their needs. The plan was developed in association with some of the largest information technology and security companies in the business today, who have joined forces to help companies better understand the threat of business interruption and financial losses. The resource provides:

  • Information on how to avoid increasingly sophisticated versions of spyware
  • What to do in the event their system has been infected
  • Recommendations for software that can remotely clean and track laptops and mobile devices in the event of loss or theft

Small businesses today are thinking big when it comes to ease of use for their clients. You want to be able to compete with large companies by offering many of the same convenient features that rely on broadband and cloud technology, enabling clients to do everything from make reservations to pay with their smart phones on the go. These small firms, though, typically do not have the staff or knowledge to steer clear of the millions of electronic threats out there. The FCC resource can help small businesses understand the risks they face and strategize to protect themselves. However, that’s simply not enough. It’s important to talk to a professional insurance agent about protecting your business from the threat of cyber risk. A good program can offer coverage that can keep you moving forward efficiently, even in the face of a major attack. Talk to an agent today to learn more.

Responses are currently closed, but you can trackback from your own site.

Comments are closed.