Cyber security

In the ever-evolving technological landscape in which we live, our lives are dominated by technology. The development and widespread usage of the internet also means that more and more aspects of our daily, personal and business lives are moving online. We are all constantly producing and saving data, up-loading content, and sending and receiving email traffic. The creation of this digital world has brought about a by-product – Cyber Risk.

What Are The Risks?

First Party Network Loss

I.T. networks are at the heart of all companies. Degradation or failure of these systems could halt day-to-day operations and cost companies a significant amount due to lost revenue. System interruption can result from computer attacks, operational and administrative errors and virus transmission. The Costs are:-

• Loss of business income
• Costs to restore the network
• Costs to replicate/replace lost data
• Increased cost of working

Privacy Breach and Securiy Liability

In the age of ‘Big Data’, companies collect and store data to help improve the customer experience, but a side-effect of this data acquisition is the creation and storage of attractive and valuable data, which can be of huge interest to financially motivated hackers. Data comes in two distinct categories – Commercial Sensitive Data and Personal Identifiable Information. The Costs are:-

• 3rd Party damages
• Regulatory fines and penalties
• PR costs
• Costs to notify affected individuals
• Forensics costs
• Legal fees

Reputation

A company’s reputation is vital to attracting and maintaining clients. Mitigating cyber risks and being prepared to deal with cyber incidents is important to avoid any reputational harm. The Costs are:-

• Loss in sales revenue
• PR costs

Terrorism

Over the years many aspects of life have gone online and terrorism attacks are no different. Cyber extortion is on the increase and companies are beginning to realise that their data can be extremely valuable to both themselves and to cyber criminals. The Costs are:-

• Extortion expenses
• PR costs
• Legal fees