What You Need to Know
A data breach is a confirmed incident in which sensitive, confidential or otherwise protected data has been accessed and/or disclosed in an unauthorized fashion.
Data Breaches can include:
- Lost laptops, backup drives or phones
- Phishing scams
- Stored or shredded documents left unsecured on premises
- Hacked databases
- Ransomware attacks
What to know about Data Breaches:
- Common A recent study shows that 55 percent of small businesses have had a data breach. What’s more, 53 percent have experienced more than one data breach.
- Costly If many records are compromised, you could easily be looking at thousands of dollars of damage. Some of the more serious small business data breaches have led businesses to close shop.
- Complex There are many ways in which a data breach can occur. Some of the most common causes include employee or contractor mistakes; lost or stolen laptops, phones and storage media and procedural mistakes.
- Continual It usually doesn’t end after one attack. According to Experian 31% of data breach victims later have their identity stolen
- Covert The intricacies of today’s technology combined with the sophistication of many hackers can make a data breach fly under the radar for weeks or even months
- Compelling They may legally require you to take action. Forty-six states require that businesses contact any individuals whose private, nonpublic information is exposed through a data breach.
While Data Breach coverage is standard on most business owner policies, the extensions of coverage may differ. Our commercial agents will gladly discuss which option best fits the unique needs of your business. Contact our Perkasie office 215-723-9805 to discuss these options for your business and enjoy peace of mind knowing that your business is covered.
By Andrea Moyer
Also Read: Can BOP Insurance Protect Against A Data Breach?