Does your small business need a cyber liability policy?

As a small business owner, you put your heart and soul into your company every day. You are weighing your entire livelihood on the success of the business. And with markets changing rapidly, most small businesses have been prioritizing online sales. And the importance of cyber-security is more and more prevalent as the culture changes. So, when asking yourself, “Does my small business need a cyber liability policy?” the answer is an astounding yes. It is essential for any company doing business online to have a cyber liability policy. But it is not limited only to companies that make sales online. Any business that keeps accounting information on their computers or in a cloud-based data program. Even with systems or computer programs to help prevent these incidents from happening, a hacker can still succeed in stealing information or halt access to the programs you need altogether.

Why a small businesses needs a cyber liability policy

Hackers don’t always go for the big fish in the sea when they decide who they hack. 43% of all cyber-attacks target small businesses. This means that your livelihood and the company you’ve worked so hard to build could be stolen from you without you even knowing it. It’s like an invisible thief walking in the door and taking all the money out of the register and walking out without anyone seeing or knowing it happened. With a cyber liability policy, your coverage protects you from potential threats online.

You have two types of cyber liability coverage for your small business.

First-party cyber liability policy coverage

First-party coverage covers losses to your business during and after a cyber-attack. Protecting losses in revenue during a temporary shutdown, repairs your hardware and software may need after, and coverage of expenses to notify customers and the public about the breach. There are many other specific coverages within first-party coverage, so talk to your broker about your business needs.

Third-party cyber liability coverage

Third-party coverage will cover mainly legal claims and lawsuits you’ve incurred during an attack. Covering lawsuits from customers from identity theft, fines, slander, etc. These coverages can be specific to your industry, and detailed coverage is best decided with your broker on what’s best for your situation.

Having the right cyber liability coverage is essential for any business, big or small. If you need help deciding the best coverage for your business, give us a call or message us with any questions you have. We have knowledgeable and experienced representatives here to assist you.

Interested in learning more about Worthy Insurance? Please email us at  hello@worthyinsurance.com or call 773-945-9000. 

Worthy Insurance is a niche broker with a focus on providing insurance placement and risk management services to the Healthcare, Manufacturing, Social Service, and Main Street business communities. Here at Worthy Insurance, we love to provide you with exciting and fun articles to learn more about insurance and how it impacts your life. Visit our other blogs to find more information. 

While Worthy does offer a wide variety of insurance coverages, our main coverages include property coverage, worker’s compensation insurance, general liability, professional liability, and cybersecurity coverage. To find out the best coverages for your company, use the contact form below so you can be at ease knowing your company is covered. For personal insurance, please visit Vero Insurance.