Presented by Bill Dotson of Rocker, LLC and Eric DeBerry of DeBerry Insurance
Do you know what to do to avoid “Data Disasters?” Topping the list of recommendations, according to Bill Dotson, owner of Rocker, a technology risk management and consulting company, is to “make sure you have great backups and test them.”
“Make sure you have a service that is regularly backing up your data. You don’t need to back up the operating system, just the your documents, photos, and other personal files,” Dotson told the Sales and Marketing committee of the Homebuilders Association of Middle Tennessee at their meeting on Thursday, April 7, 2016. “Then, be sure to test your backup files so that you know you can access them in the case of a data disaster.”
Dotson described “data disasters” as situations resulting from computer viruses, malware such as “ransomware,” or other technology breaches. Of the one in five small to mid-sized companies that will statistically face a data disaster, costs to mitigate them can range from $50,000 to $100,000 and up.
Costs associated with a breach event include costs for the investigation into what caused the breach, notification costs of up to $5 per contact, business down time, regulatory fines, costs of recovering data, costs to restore systems and public relations crisis management.
“Doing everything you can to avoid a data disaster should be a priority for any business,” Dotson said. “First, be sure you have the proper technology in place such as a firewall that provides inbound and outbound protection and a good antivirus software. You should also have data loss protection enabled for your business.”
Educating employees is the next step to avoiding data disasters. Helping employees learn to detect suspicious cyber-activity and deflect potential technology breaches can cost as little as $10 per employee per year; far less than the cost of a data disaster.
“Education is even more important than technology when it comes to protecting your business,” said Dotson.
Finally, having a proper insurance plan in place can make the difference in being able to rebound in the case that a data disaster inevitably occurs.
“Premiums for cyber and data breach coverage can start at just $1,200 to $1,500 per year; depending on the size of the company,” said Eric DeBerry, owner of DeBerry Insurance. “Of course, insurance carriers would want to make sure that your company has systems in place to make every reasonable effort to prevent a breach from happening. Cyber and data breach coverage can offer protection against extortion and the costs of mitigating a data disaster.”
“In today’s world, companies should do everything they can to avoid a data disaster and then have proper insurance coverage in place to pay for recovery in the event of a data breach or other malicious event,” said Dotson. “There are nearly one million new malware threats emerging every day. Companies have a duty to manage and protect themselves against these threats.”
Along with cyber and data breach coverage, DeBerry Insurance provides comprehensive insurance plans for businesses and individuals. To learn more about the coverage options available through DeBerry Insurance. To learn more about Rocker Risk, LLC, visit the website: www.rockerrisk.com .