No Immunity Against Cyber Attacks

The greatest deception is the one we play on ourselves.  That could never happen here, right?  I’m too small for anyone to bother hassling with me, don’t you think?  But that same self-deception opens the door to individuals and organizations that, in fact, look for ways to steal, cheat, and do harm.

And the area of cybersecurity – especially for small businesses – has emerged as the place where so much of this harm is being done, and on a regular basis.

Recent surveys sponsored in part by the National Cybersecurity Authority found that most U.S. small businesses lack a formal Internet security policy, only about half have rudimentary cybersecurity measures in place, roughly one-quarter have outside experts test their systems for hacker-resistance, and an alarming 40 percent do not back up data in more than one location.  Yet 85 percent of small business owners believe their organizations are safe from hackers, viruses, malware, and data breaches.

The harsh truth, however, remains that hackers look for the path of least resistance.  The massive credit card information theft affecting Target department stores began by a single hacker getting into a small subcontractor’s computer systems.  Small businesses – and those that neglect cybersecurity threats – represent a path to much larger targets, and therefore exist as attractive targets themselves.

Cost concerns do not have to preclude taking some sensible, cost-effective precautions.  The Federal Communications Commission recommends the following steps be taken among small business owners:

  • Train employees in cybersecurity principles.
  • Install and update anti-virus and anti-spyware on every computer.
  • Use a firewall for your Internet connection.
  • Download software updates as they become available.
  • Make backup copies of important data.
  • Control access to computers and network components.
  • Secure your wi-fi networks.
  • Require individual user accounts for each employee.
  • Limit employee access to data and limit authority to install software.
  • Regularly change passwords.

Don’t fool yourself that it can’t happen to you, because it can.  Cybersecurity must rise to the top of your priority list, to safeguard your company’s critical information.  The Reschini Group can work with you to determine a proper protection strategy, and our experts are here to help.

Here are some additional resources that may be beneficial:

More About Cybersecurity

Read The Reschini Blog: Protecting Yourself from Online Data Breaches

Read The Reschini Blog: Guiding Parameters for Preparedness in Cybersecurity

Get: Cyber Risk Exposure scorecard

Get: Cybersecurity for Small Business

Get: Cybersecurity for Healthcare Organizations


Copyright 2017 The Reschini Group

 The Reschini Group provides these updates for information only, and does not provide legal advice.  To make decisions regarding insurance matters, please consult directly with a licensed insurance professional or firm.

Reschini Buying Evergreen Insurance

The Reschini Group Buying Majority Ownership of Evergreen Insurance from S&T Bank

Company will Continue Operations Under Evergreen Name

INDIANA, Pa., November 15, 2017 – S&T Bank, a full-service financial institution with assets of $7.2 billion, and locations in Pennsylvania, Ohio, and New York, announced today that it is selling majority ownership of S&T Evergreen Insurance (Evergreen) to The Reschini Group (Reschini). Evergreen Insurance will begin independent operation on January 1, 2018 with no change to its locations. S&T and Reschini have a long history of doing business together and S&T will serve as an ongoing referral source to Evergreen.

“The strengths of Evergreen and The Reschini Group complement each other, and the customers of both companies will benefit from working together,” said Joe Reschini, president of The Reschini Group. “Our two organizations have similar missions as well as a philosophy of customer advocacy and strong carrier relationships, which are advantages for both Evergreen and Reschini.”

“We are excited to announce our strategic partnership with The Reschini Group, as they share a common vision on serving our clients,” said Todd D. Brice, president and CEO of S&T Bank. “The Reschini Group is well regarded in the insurance industry. This partnership will provide additional resources to meet our customers’ growing insurance needs.”

Evergreen Insurance has locations in Altoona, Brookville, Ebensburg, Greensburg and Indiana. The Reschini Group is headquartered in Indiana, Pa. and has a location in Pittsburgh.


 

Focus: Cybersecurity

 

Periodically, The Reschini Group will focus on a particular topic related to Risk Management or Property and Casualty issues. This month, we focus on Cybersecurity. Read on, and be sure to check out the resources available through the links.


Worth the Investment: Defining Cybersecurity Insurance

Insurance coverage is meant to protect one’s assets in the event of theft, damage, or disruption.  When your online information gets hacked, all three factors come into play.  So why not carry insurance to protect yourself from this potential disaster?

Cybersecurity insurance does just that.  The U.S. Department of Homeland Security defines it as follows:

“Cybersecurity insurance is designed to mitigate losses from a variety of cyber incidents, including data breaches, business interruption, and network damage. A robust cybersecurity insurance market could help reduce the number of successful cyber attacks by: (1) promoting the adoption of preventative measures in return for more coverage; and (2) encouraging the implementation of best practices by basing premiums on an insured’s level of self-protection. Many companies forego available policies, however, citing as rationales the perceived high cost of those policies, confusion about what they cover, and uncertainty that their organizations will suffer a cyber attack. In recent years, the Department of Homeland Security National Protection and Programs Directorate (NPPD) has engaged key stakeholders to address this emerging cyber risk area.”

The 2017 Cost of Data Breach Study, conducted by the Identity Theft Resource Center, has stated that:

  • The overall cost per data breach worldwide decreased from $4 million to $3.62 million over the past year, but those same costs increased in the U.S. by 5 percent, to $7.35 million per data breach.
  • Having an incident response team reduced the cost of a data breach by nearly $1 million.
  • Health care is the most costly industry for data breaches, costing organizations $380 per compromised record.

Having a cybersecurity protocol, backed by the proper level of insurance coverage, is not only smart business – it could keep your business from disappearing altogether.  The National Cybersecurity Alliance reported that nearly 60 percent of small businesses victimized by cyber attack closed permanently within six months.  Putting the right protection in place is not difficult, and can be achieved more cost-effectively than might be assumed.

Fitch Ratings said that cybersecurity insurance policies in the U.S. have risen by 35 percent, reflecting a growing awareness and appreciation of the risks and how to reduce them.  The cybersecurity insurance specialists at The Reschini Group can work with you to help safeguard your organization in the same way.

More About Cybersecurity

Read The Reschini Blog: Protecting Yourself from Online Data Breaches

Read The Reschini Blog: Guiding Parameters for Preparedness in Cybersecurity

Get: Cyber Risk Exposure scorecard

Get: Cybersecurity for Small Business

Get: Cybersecurity for Healthcare Organizations


Copyright 2017 The Reschini Group

 The Reschini Group provides these updates for information only, and does not provide legal advice.  To make decisions regarding insurance matters, please consult directly with a licensed insurance professional or firm.