When American International Group (AIG) conducted a research survey of 323 risk managers, IT decision-makers, C-suite executives and brokers in the insurance industry in some capacity, they may have enlightened their audience even more than anticipated. The article states that 85% of all corporate executives polled (258) were “very or somewhat concerned” about the impact of cyber risks on their company. Executives are more concerned with cyber liability risks than any other risk, including income loss, which clearly demonstrates the importance of cyber liability coverage.
Survey participants reported that reputational risk associated with cyber threats had them more concerned than the financial recourse associated with a breach. With cyber liability issues filling the headlines, it’s harder and harder to recover from the scrutiny your company would undergo in the media. Regardless of company size, reputational damage can hit any business where it hurts the most: the bottom line. Top companies have taken an aggressive, proactive stance when dealing with their cyber liability risks; not doing so could, and probably would, lead to a serious cyber breach. The “big boys” in business know they are prominent targets for hackers and cyber criminals, but the little guys can get hurt too, and worse. Your small business probably can’t afford a lengthy, expensive road of damage control; being proactive can go a long way in the realm of cyber security.
Cyber risks are not black and white. They are also not the easiest to identify and assess, once evaluated they need to be managed correctly. If one link of this long, complex chain is missing your whole company could suffer catastrophic reputational and financial damage. Becoming more adept in understanding your particular cyber liability threats will pay great dividends. To learn more about how to combat and mitigate cyber liability risks that exist within your organization do not hesitate to contact Albert Sica at 732.395.4251 or at [email protected]
