If you work in data insurance, you know that this is a fluid environment. The world of cybersecurity is constantly changing.
As technology changes, the threats to cybersecurity also change. Each day, a new cyber threat emerges. The cybersecurity industry always has to adapt to the risk of new cybersecurity threats.
Cyber insurance agents have a duty to provide correct information to prospective clients. You need to have an understanding of some of the common cybersecurity threats. With this information, you can better explain different data security insurance options to clients.
Understand Common Security Risks
Inform your insurance clients of all potential risks associated with data breaches. You can explain to them what risks they face before telling them what insurance is best for them.
Common cyber threats include:
- Phishing: This occurs when a business gets a request from an online predator posing as a reputable source. The predator may ask for tax documents, social security numbers or other sensitive information.
- Malware: This all-encompassing term can include things like viruses, worms and Trojans. These programs attach themselves to valuable files and allow predators to access the information.
- Rogue Software: Malicious software masquerades as an update to your computer.
- Malvertising: Sometimes, malicious software masquerades as advertising on a web page. The attacker lets you click on the ad before putting malicious software on the computer.
- Drive-by-Downloads: Sometimes, simply visiting a site may cause malicious software to download to your computer.
- Denial-of-Service Attacks: A hacker may try to overload a system. This could cause it to crash and compromise data safety.
Explain Data Protection Insurance
The first thing to do is explain to clients that it is always their responsibility to protect their data. Encourage them to research data threats and be vigilant when working on business networks.
Then, tell them how data breach insurance can help them. Data breach insurance can often cover many of the following resolutions:
- Anti-fraud protection for victims
- Crisis management and security expert repairs
But, make sure you explain to clients the scenarios covered by their plans. If an attack occurs that is not covered, you may have to deny a client a claim. Individual plans also may not include every possible resolution coverage.
U.S. E&O Brokers can help you choose the data breach insurance that you will offer your clients. If you want to learn more about data breach insurance, give us a call today at (800) 460-6424.