Equifax, Sonic, and Uber are just the latest in a long list of companies that have announced major data breaches. Each time a hacker accesses the private information of customers and clients, there is a possibility of major liability and financial loss for the business, as well as theft of each victim’s identity. Here at Homewood Insurance Agency, we recognize the growing risk of identity theft due to data breaches. Here’s what you need to know if your business is hacked or your private information is stolen and sold on the dark web.
Protect Your Business Against Loss
Even the biggest and most ‘secure’ businesses, government agencies, and organizations are at risk of data breach. If your company is targeted next, the losses could be astronomical – especially if you store sensitive customer data or highly confidential information. Imagine having to pay for virus removal and software cleanup, not to mention the cost of notifying your customers of the breach. You might even be subject to punitive damages, as well as expensive legal bills and the cost of protecting victims against fraudulent activity.
Fortunately, there are some steps you can take to minimize your company’s losses if it is targeted by cybercriminals. To start, contact an agent here at Homewood Insurance Agency to apply for commercial coverage against data breaches. Once you are matched with the right insurer, you can begin working with underwriters to implement a loss prevention plan, which may include:
- Cybersecurity training for employees
- Third-party audits
- Routine software updates and testing
- Adopting a written contingency plan
- And more
Protect Yourself Against Identity Theft
Individual identity theft can be a big problem, not just because it can create liabilities in your name, but also because it can damage your credit and affect your ability to get approved for loans or qualify for low deposits and low insurance rates. If criminals gain access to your Social Security number, credit card numbers, and other sensitive information, it could take countless hours and legal assistance to restore your good name. That is why we recommend purchasing identity theft insurance to ensure you have the resources you need to recover from an identity breach.
Identity theft insurance can be purchased as a stand-alone policy, or you may be able to add it to your existing homeowner’s, renter’s, or condo-owners insurance coverage instead. Either way, it can provide coverage for your lost wages, travel expenses, legal fees, and more as you work to scrub your credit report of fraudulent accounts and erroneous information.
Other Ways You Can Protect Yourself
Identity theft insurance can provide you with helpful tools when you need them most, but it is always easier to prevent damage than it is to repair it later. You can start by making a habit of checking your bank and credit card statements regularly for signs of unauthorized charges and activity. If you notice suspicious activity, report it right away to minimize your risk of loss.
We also recommend taking advantage of a free or paid credit monitoring service that will keep tabs on your credit report activity and notify you of changes. Several third-party credit monitoring services are available, and some credit card issuers even offer the service free of charge. If you discover new accounts on your credit report that you did not open, contact the credit bureaus immediately to dispute the accounts and place a freeze on your credit. This prevents criminals from opening additional accounts in the future.
For more information about how you can protect yourself and your business against data breaches, contact the team here at Homewood Insurance today.
