In recent years, cyber-crimes, data breaches, and network breaches have become more of a real threat to business integrity than ever before. Experts believe that the number of breaches will only grow along with the exponential growth of digital transactions and record keeping. We’ve posted blogs in the past about how to prevent network breaches, and how to potentially recover from a network breach, but despite this knowledge, are your clients truly prepared?
While all businesses are prone to a network breach, small businesses may be more vulnerable. In fact, statistics show that 85% of all network breaches occur at the small business level, and 31% of all cyber-attacks occur at companies with fewer than 250 employees. What’s dangerous about this is that 77% of small businesses do not have a formal, written internet security policy for employees and 40% of small businesses don’t have a contingency plan should a loss of data occur. Therefore, it looks like many of your small business clients might not be ready for a network breach.
What should your small business clients know about their network breach risks? There are many forms of data breach that their business could potentially be exposed to; hacking, theft or release of funds due to unauthorized access, stolen or lost mobile devices, stolen credit card information, and more. Small businesses are usually at a greater risk because they typically have fewer resources to provide appropriate network protection or security awareness, and thus are not as aware of their exposures as larger business entities may be.
Whether a small business or not, there are also different business sectors that could be more prone to a network breach than others. These sectors include law offices, healthcare facilities, accounting offices, restaurants and retailers, and financial facilities. Your clients should take preemptive steps by staying up to date on network security trends, having written security policies and procedures, and purchasing the right Privacy and Network Security Policy.
Looking beyond the data breach itself into privacy and network security loss recovery is important in any business. At PLRisk Advisors, our Privacy and Network Security Coverage is the solution to helping your customer manage and protect against risk. Please contact us today for more information at (855) 403-5982.