A recent article posted on CanadianUnderwriter.ca tackled the issue of cyber-security, and shines a light on the fact that small businesses may not be taking their cyber-risks seriously.
Businesses outside the information technology sector seem less likely to seek cyber liability insurance since news broke last December 19 about the breach involving Target, suggests Insureon, an insurance provider for small business.
In a statement Wednesday, Insureon identified that in the months before information came out on Target’s data breach, 9% of non-IT Insureon applicants requested cyber coverage. In the months since, only 5% have made the request.
Insureon cautions that it appears media portrayals of breaches are giving small businesses a false sense of security.
“The reality is that small businesses get hacked far more often than big ones,” Ted Devine, CEO of Insureon, says in the company statement. “But you’re not going to turn on the evening news and hear about the florist on the corner getting breached. You’re going to hear about Michael’s and Neiman Marcus and P. F. Chang’s,” Devine continues.