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Poor cyber security can cost your business dearly.

As a small business owner, you are responsible for protecting the sensitive information of your customers and your business.  Failing to employ adequate cyber security measures can cost your company dearly.  Here’s what a cyber attack on your business can cost you and what you can do to upgrade your cyber security measures.

The Cost of Cyber Attack

It’s important for business owners to understand just how badly a cyber attack or data breach will affect their company and their customers.  For starters, your business would be responsible for covering all the costs associated with the breach.  This includes the following:

  • Cost of notifying clients
  • Cost of restoring identities of affected parties
  • Cost of recovering compromised data
  • Cost of damaged computer systems
  • Cost of ongoing credit monitoring of affected parties
  • Cost of lawsuits

In addition to these monetary losses, businesses who are hit with a data breach also face reputational harm and the loss of client trust.  This can make it difficult for a business to retain customers, attract new clients, secure future contracts, and so on.  In some cases, the damage caused by the data breach is so severe that the business never recovers and is forced to close its doors.

Preventing Cyber Attacks

There are many things that your company can do to mitigate its risk for a cyber attack.  For instance, here are some of the steps that you can take.

  • Make Backup Copies of Important Information

You should regularly back up your company’s computers to ensure that there is a secure copy of important word documents, electronic spreadsheets, databases, financial files, human resources files, and accounts receivable/payable files.  Schedule automatic backups at least once a week, so you do not forget to take care of this important security step.

  • Conceal Your Wi-Fi Networks

If you have a Wi-Fi network for your business, then make sure that it is secure, encrypted, and concealed.  To hide your network, set up wireless access points and routers so that they do not showcase the network’s name, or SSID.  Secure your router with a password so only approved parties can access it.

  • Set Up Strict Password and Authentication Protocols

Employees should be required to update their password settings every three months.  Additionally, you should set up multi-factor authentication procedures to ensure that hackers and criminals cannot gain entry to your system with a stolen password alone.

These are the costs of a cyber attack and what you can do to upgrade your cyber security protocols.  Want another way to protect your business against online risks?  Then make sure you have the right commercial insurance protections in place.  For assistance with all your business insurance needs, contact the experts at The Schwab Agency in Colleyville, Texas today.

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