Shockingly, 52% of small business owners have never contacted a technology insurance company for a data privacy protection plan.
Did you know that 52% of small business owners have never contacted a technology insurance company for a data privacy protection plan?
This statistic is astounding because there are many repercussions when a business has their data privacy breached, and nowadays almost all businesses digitally collect and store some level of valuable “personally identifiable data” of their customers, clients and employees. This data can include names, emails and passwords, credit card information, driver’s license numbers and even social security numbers.
With so many businesses storing valuable personal data it is alarming that only 48% of them using a technology insurance company to keep it confidential.
The Importance of Having a Policy with a Technology Insurance Company
Data privacy laws are enacted by many states to protect the confidentiality of personally identifiable information, but despite any given business’ firewalls and security measures they’ve put in place, there is always the possibility of a hacker breaking in and breaching the system.
It’s imperative to have a sound technology insurance company supporting your business because if the personally identifiable data you have collected is breached and/or stolen, you are responsible for covering the costs of any problems that may ensue.
Possible problems and costs surrounding a data privacy breach may include:
• Risk of identify theft, which may expose your business to potential legal troubles
• Exposing clients to fraudulent charges on credit cards
• Jeopardizing your business’ relationship with credit card companies
• The cost of notifying affected individuals
• Covering crisis management fees to minimize potential harm to your company’s reputation
• Loss of customers and trust
• Large fines and penalties for violating data privacy laws
• Stolen company funds
• Tens of thousands of dollars spend investigating the breach
• Litigation from clients and customers whose personally identifiable information your business was responsible for
The list of problems and costs that result from a data privacy breach is not limited to the above list. Whether your business is a large corporation or a small business, you should always be working with a technology insurance company to ensure that you will be covered, should any of these disasters occur.
If your small business falls under the 52% that have no relationship or policy from a technology insurance company, get a free quote immediately and protect your business, your employees and your clients from an expensive and detrimental data privacy breach.
Contact InsuringTech.com today to get technology insurance policy that meets your needs!