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Cyber-attack attempts happen every 2.5 minutes

  • 72% of large organisations have had a cyber-security breach within the last 12 months

  • fraudulent emails are the most common form of cyber-attack

  • over half (52%) of companies assume their business insurance covers cybercrime

Over half (52%) [1] of companies wrongly assume that they’re covered for cybercrime attacks within their business insurance, according to the latest data from MoneySuperMarket.

Phishing emails and cybercrime within businesses are on the rise, with research [2] showing attempts now take place every two and a half minutes on average. Their impact can have huge financial implications - a government study [3] revealed that the average cost of a cyber-breach is £16,100 for medium-sized businesses and £22,300 for larger organisations.

Many business owners assume that their standard business insurance policy will cover them for cyber-related crimes, but this is often not the case and cyber insurance must be taken out as a separate policy.

In the last 12 months, four in 10 companies surveyed have been a victim of a cyber-security breach or attack [3]. The culprits are likely to be malicious ex-employees, suppliers, hacker criminals or even current employees. While most attacks are premeditated, those committed by current employees are often genuine mistakes, such as opening a phishing email or losing a laptop. In fact, 75% of attacks are related to fraudulent emails being received within organisations, yet just over a quarter (27%) of businesses are covered by a formal cyber-security policy [3].

The importance of staff awareness and vigilance is key to preventing a cyber-breach, but currently only a third (33%) of companies have a cyber-policy in place and just 20% provide cyber-security training to staff [3].

Rose Howarth, insurance expert at MoneySuperMarket, commented: “With cybercrime threats on the rise, it’s crucial to make sure your business has the correct cover. Most organisations simply take out a policy for common risks such as water leaks, accidental damage and theft. Yet cyber-breaches are increasingly common, with over 57,526 happening in the last three months alone, according to government data.

“Always remember to double check your policy for cybercrime cover, as standard business insurance often doesn’t include it and you must ensure you take out cyber insurance as a separate policy. 98% of communications within businesses is now digital and with over half of companies often incorrectly assuming they’re covered, don’t get caught out [3].

“From small to large enterprises, be sure to shop around for the best business insurance that covers all possible threats to your company, both online and offline.”

Submitted by MoneySuperMarket

 

[1] All other data, unless otherwise quoted, is internal MoneySuperMarket provider data taken from January 2016 – October 2018

[2] https://www.beaming.co.uk/cyber-reports/uk-businesses-attacked-online-every-two-half-minutes/

[3]  https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/702074/Cyber_Security_Breaches_Survey_2018_-_Main_Report.pdf

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