The Expert Podcast

…A lot of small businesses are struggling. With cyber insurance or cyber security And the reason why is because the landscape is changing so fast, that it's very difficult to implement a policy for cybersecurity. Where you're not able to dedicate a full team of people to it That's why a lot of. small businesses are just resorting to cyber insurance rather than prevention And sometimes the cyber insurance policy we'll put in place procedures for you to take advantage. to try to prevent these activities So what are the numbers behind this deficiency Well what they say is that 49% of these businesses have plans to budget more in 2023, but 61% say they do not have a dedicated cybersecurity expert inside the organization. 47% almost half do not have an incident response plan Think about that. Half. Of the companies. That were interviewed. Don't have a plan If there's a cyber incident.

Imagine if you went to a company and said do you know what you would do if your building catches on fire Do you have an incident plan for fire? Everybody probably would. If you went to a thousand companies I. Predict you probably wouldn't find a single company. That would not have a fire plan Like people wouldn't just sit around like not knowing what to do If there's a fire. But they don't have a plan Half of them don't have a plan for a cyber incident. Well let's more common What's more likely do you think your business is more likely to burn to the ground or. likely to have a cyber event. Right. It's probably more likely to have a cyber event And in fact, the cyber event could be more expensive. To recover from. Then your building burning down your cyber event could actually have more long lasting effects on your business

So having at least an incident response plan is a good thing to do. How do you generate that Well, again if you have an insurance policy your insurance carrier certainly will put one together for you that will require it. At the same time you could put that together yourself using tools from various cyber security companies And even those who are trying according to the report mid-sized businesses are struggling to implement basic training measures and recruiting the iStat. And they reveal they have not deployed threat monitoring detection and response. This is a big deal.

it's not. Good for the companies I'm sure that the hackers and ransomware scammers are reading this and, and saw. they're licking their lips because this is a really good way for them to make some money by attacking companies who are not prepared for a cyber event even when there are practices in place. Only 9% of workers adhere to the security practices. This creates a major obstacles fighting off cyber attacks Again the hackers know this they're loving every minute of it. Because they want to. Find easy targets finding showed that 69% of responders reported They're required to carry some form of cyber insurance, but 30% have no insurance coverage That means almost half the people that are supposed to have it Don't have it… And 70% of the companies don't have it at all.

So this is good information for you as a business owner, it might give you a competitive advantage. If your competitors don't have insurance, they're more likely to get hacked and maybe be shut down for a couple of weeks where you can take over their customers, where if you do have it you'll be protected and less likely to be hacked in the first place.