The Impacts of a Cyber Breach on a Staffing Agency > Financial Impact
In this series of posts, we have explored the risks that staffing agencies face when it comes to cyber attacks. No one is immune to these risks, and the confidential client data that staffing agencies possess makes them a hot target for malicious hackers. We’ve already covered the basics, including how to evaluate your agency’s risks, now it’s time to dive into the actual cost of a breach, and how to protect your assets. The most important factor we’ll discuss is carrying enough Staffing Agency Cyber Liability Insurance to protect your operation.
Carrying enough coverage.
Despite the increase in attacks, cyber insurance is still in its infancy. Much of the time, companies think of cyber insurance as an afterthought, rather than a proactive measure to secure their businesses. However, as we’ve mentioned in our previous blogs, the cost of recovering each stolen record is approximately $160. For major firms, this can be devastating. Speak with your trusted insurance advisor to ensure you’re carrying enough insurance should the worst happen.
Cyber insurance evolution.
“Measuring cyber risk requires understanding how the business assets are impacted by a cyber attack. Assets must be prioritized. A system that makes money or could cost you money in fines if breached is much different than a system with minimal business impact…Risk metrics allows for risk accumulation scenario analysis for data exfiltration and cloud compromise across the portfolio of the cyber insurance company. Lastly, risk metrics demonstrate now much cyber insurance is actually needed by an organization,” explains Ariel Evans, an American Israeli cybersecurity expert, to Forbes.
How can I measure my defense methods?
Apart from carrying the right insurance, staffing agencies can protect themselves by regularly reviewing financials, implementing strong cyber controls and passwords, investing in security software, and protecting personal information. Consult with a cyber security professional to ensure your safeguards are enough to keep your agency protected.
About World Wide
At World Wide Specialty Programs, we understand that staffing firms are exposed to data breaches, identity fraud and all kinds of threats to security. Our Cyber Liability coverage will provide you with protection from corruption, threats, unauthorized access and network security attacks. For more information on how we can keep your business protected, call us today at (800) 245-9653.