According to the Willis Fortune 1000 Cyber Disclosure Report, the top three cyber risks identified by the Fortune 1,000 include:
- privacy/loss of confidential data,
- reputation risk, and
- malicious acts.
The report showed that health care is the industry most concerned about cyber risks, closely followed by the technology, insurance, telecom and retail sectors.
The most significant cyber exposures identified in the report by Willis included:
1) A rise in the exposure to business interruption as a result of a cyber event.
2) A reduction in the perceived exposure to cyber terrorism.
3) A reduction of intellectual property risks identified.
Other reported cyber exposures included (from high to low risk):
- Privacy/loss of confidential data
- Reputation risk
- Malicious acts
- Liability
- Business Interruption
- Errors and malfunction
- Cyber terrorism
- Cyber regulatory risk
- Outsourced vendor risk
- Loss of intellectual property
- Product or service failure
- Social media risk
- Actual cyber events
How prepared is your technology firm when it comes to responding to the above cyber risks? Cyber/data breach insurance can help technology firms respond to these types of risks and can also offer business interruption income as a result of a cyber event. However, its important to note that business interruption is an add-on coverage and is fast becoming an important and necessary coverage for tech firms. To learn more, contact us.
