Cyber Attacks are the New Normal

Hackers are becoming bolder and cyber attacks are getting bigger all the time.

Hackers are becoming bolder and cyber attacks are getting bigger all the time.

While the threat of a cyber-attack is real for businesses of all sizes, nearly half of small businesses in the US have suffered a cyber-attack in the past year. Small businesses are less likely to have strategies in place to ward off attacks, detect them early if they do occur, and reduce the damage. And, they are less likely to be able to withstand the financial impact of a hack or breach.

Small businesses can take steps to counter the ever‑evolving threat of cyber-attacks and become cyber ready. These steps are not overly complex or costly, and small businesses can significantly protect themselves by taking action.

Ransomware, spear phishing, malware, drive‑by attacks, DDoS attacks – the list goes on and on. While cyber-attacks that make the news are often large in scale, make no mistake that small businesses are being attacked, too. In fact, small businesses may be more vulnerable to cyber threats than large corporations.

47% of small businesses suffered at least one cyber-attack in the past 12 months. Of those, 44% experienced two, three, or four attacks in the past year, and 8% had five or more attacks.

Business owners and executives ranked a cyber-attack as one of the top two concerns for their business, along with fraud. 66% percent of small businesses said they were concerned or very concerned about cyber risk. Yet the vast majority haven’t taken the basic steps to prepare.

Cyber risk is a top concern for the majority of small businesses owners. So, what obstacles stand in their way? 50% said lack of budget is a challenge or a major challenge.

All businesses face trade‑offs when they try to allocate limited resources, but it’s crucial to keep in mind that the cost of a cyber incident can be significant, and it increases as your company grows. Small businesses estimated their average cost for incidents in the last 12 months to be $34,604. Among large companies (more than 1,000 employees), the annual average cost of cyber-crime was $1.05 million.

The Agent Insurance Services understands small businesses.

Call one of our experienced and knowledgeable agents today to start protecting your business with coverage created specifically for you.

The Agent Insurance Services (330) 758-3339

2018 Hiscox Small Business Cyber Risk Report

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