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Posted on October 6, 2016 by staff

Businesses without cyber crime insurance risk everything

Businesses without cyber crime insurance risk everything

SME Insurance commercial director Jonathan Webber
SME Insurance
SME Insurance commercial director Jonathan Webber

A new study has found that many businesses are not insured against potential damage from cyber attacks.

The survey, conducted by business insurance provider SME Insurance, estimated that 34 per cent of the UK’s small- and medium-sized businesses have insufficient cover for the biggest risks they face.

Of those, 34 per cent said cyber-attacks was the greatest threat, with public liability ranked in second place (28 per cent) followed by physical crime at 19 per cent.

Jonathan Webber, commercial director for SME Insurance, commented: “This survey highlights an apparent lack of insurance protection among SMEs for threats that could be potentially catastrophic to their businesses, which unfortunately puts them in a vulnerable position.

“Identifying and securing the insurance protection they need should be their top business priority.”

With regards to cyber-crime, 30 per cent of respondents stated they would be most vulnerable to computer viruses while 22 per cent claimed data theft is the sole digital threat.

According to 15 per cent, a lack of security awareness amongst employees may be leaving their business vulnerable online.