As most of us are aware, and especially in the tech industry, cybersecurity is a critical concern for businesses of all sizes. With the increasing number of cyber-attacks and data breaches, it’s more important than ever for businesses to prioritize ongoing cybersecurity training for their employees. Not only can a lack of training lead to costly data breaches and reputational damage, but it might also impact a business’s ability to successfully file an insurance claim in the event of a breach.
Ongoing Training is Essential
Ongoing cybersecurity training is essential for businesses to stay ahead of evolving cyber threats. Hackers are constantly developing new and more sophisticated methods of attacking businesses. It is essential that employees are educated on how to recognize and respond to these threats. Without proper training, one may unknowingly click on a phishing email or download a malicious file, leaving the business vulnerable to a data breach. And the breach or compromised data may not be recognized immediately, leaving your business unknowingly exposed.
Inadequate cybersecurity training can also have serious financial consequences. In the event of a data breach, a business may be subject to fines, legal fees, and other expenses. According to a study by IBM, the average cost (globally) of a data breach exceeds $ 4 million, and in the US, the average is over $9 million. Additionally, a data breach can also have a significant impact on a business’s reputation, leading to lost customers and revenue.
Impact on Insurance Claims
In the event of a data breach, a business may also need to file an insurance claim to cover the costs associated with the incident. However, insurance companies may deny claims if the business has not implemented adequate cybersecurity measures. This can include providing ongoing cybersecurity training to their employees. Insurance companies may view inadequate training as a failure on the part of the business to take reasonable steps to prevent a breach. There may also be a requirement to provide documentation of the training.
Ongoing cybersecurity training is essential for businesses of all sizes. An inadequate training program lead to costly data breaches and reputational damage. And it can also impact a business’s ability to file an insurance claim in the event of a breach. By investing in a strong program and requiring this to be a part of your business’s infrastructure, you can offset a lot of the risks associated with a breach.