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Don’t Believe These Cyber Insurance Myths

As our age becomes increasingly digital, so do the risks surrounding our businesses. Thus, you should use cyber insurance to help your company recover from a cyberattack. This will cover financial loss triggered by events, including cyber thefts, data breaches, and ransomware.

Cyber insurance can give you many advantages since it covers costs of:

  • Legal proceedings
  • Data recovery
  • Personal identity restoration
  • Notifying stakeholders about the cyberattack

Because of the complex nature of cyber insurance, many existing myths can be malicious to your company if you believe them. Let’s take a look at them below.

Cyber insurance myths

Identifying the most common cyber insurance myths is essential to making informed decisions for your company.

Myth number 1: I only need a cyber insurance plan to protect my company from cyber threats

Your company’s insurance provider will only cover your company if you meet the requirements stated in your contract. More reputable insurers will need proof that you stand by the proactive measures indicated in your policy. Thus, if you cannot prove you have followed the criteria, your claims may not be paid.

One of the most typical insurance requirements is that you have top-standard cybersecurity protection. Consider that not all cybersecurity solutions on the market are the same. Discovering a solution that provides the best protection for all your needs is critical.

Myth number 2: I have cybersecurity solutions, so I don’t require cyber insurance

While cybersecurity solutions can enhance your defense, they do not make your company immune to cyber incidents. Solutions can decrease the risk of a cyberattack by identifying and protecting vulnerable aspects of your system.

Despite this, no solution can offer complete protection against all possible threats. After all, protecting against emerging and current risks is often difficult.

Furthermore, a human error sometimes results in vulnerabilities in your company, regardless of how secure it may be. This is why it’s wise to have a cyber insurance policy intact in case an incident occurs.

Myth number 3: Cyber insurance is straightforward to get

As technology continues to get more complex, so do the occurrences of cyberattack incidents. Small and medium-sized companies are the most vulnerable targets of cybercriminals because they lack robust protection. So, insurers sometimes hesitate to offer coverage since the risks are high. While policies are still provided, they are becoming increasingly costly and challenging to obtain.

Myth number 4: If I buy a cyber insurance policy, it will cover my claims in case of an incident

Unless you are able to prove that you’ve complied with the cyber insurance policy’s conditions, your claim is unlikely to be taken seriously. So, you should consider partnering with an IT service support provider. An experienced IT service provider in Austin like us can aid you, helping you remain compliant with your insurance policy and offer evidence of the compliance in question.

IT Support Austin

Not falling for cyber insurance myths is critical, ensuring that your company qualifies to invest in a policy and receive the necessary coverage. Despite this, it is also significant to remember that cyber insurance demands a considerable chunk of time and effort – maybe more than you have available.

Therefore, to protect your organization efficiently, you may want to partner with an Austin IT service provider like us who can assist you and help you understand how to enhance your likelihood of receiving coverage in an incident scenario. Get in touch with our IT services in Austin to schedule a no-obligation consultation today!

Moreover, if you want to learn more, download our infographic, ‘What is Cyber Insurance and Why Your Business Needs Coverage,’ by clicking here.

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