While most business owners understand the idea of needing good cybersecurity to protect business data and electronic devices, cyber insurance is a newer idea for them.

In reality, this type of protective coverage has been available from cyber insurance agencies for a lot longer than most people think.

Now considered by cybersecurity insurance agencies to be an essential policy for any business that uses or stores sensitive data, this type of insurance has been around for a quarter of a century!

Cyber Insurance and the Rise of Internet Banking

In 1997, there wasn’t much known about cyber threats, as the internet was a new and exciting concept that people and businesses were just beginning to adopt.

Cyber insurance was unheard of then, as was the idea of internet fraud, at least for a little while.

That all changed when banking went virtual and the developers of this idea of internet banks brought up the possibility of internet fraud and the need to protect against it.

Once banking and financial industries began to understand the value as well as the risks of internet banking, the cyber insurance agency was born to protect adopters of this new technology.

Cybersecurity Insurance Protection Over Time

The policies sold by cybersecurity insurance agencies are crucial for any business that generates, stores, transfers, or works with digital data in any way for the distinct liability that this information creates.

Initially, the risks protected by cyber insurance pertained mainly to losses due to financial data being stolen.

As the internet has become the main way in which countless businesses in all industries do business, liability due to the theft of personal data, business information, trade secrets, and more winding up in the wrong hands has now become a major risk.

Cyber insurance agencies have played increasingly larger roles in protecting businesses from the many types of damage they can incur due to these and other cybersecurity breaches.

Cyber Threats Today and the Need for Cyber Insurance

Though cyber threats like data breaches have been around for as long as internet banking and online financial transactions have existed, the need for insurance policies that provide liability insurance to businesses has exploded, especially in the last decade and a half.

As more businesses and industries have adopted online payment, recordkeeping, networking, and other cloud-based services, the efforts to steal all that sensitive data have increased exponentially as well.

Insurance from a cybersecurity insurance agency must therefore go hand-in-hand with cybersecurity networking services as the best way to protect companies from lawsuits, loss of income, and other damages that can result from data theft.

Protect Businesses From Damages With Cyber Insurance

Today, no business insurance policy is complete without cyber insurance to protect companies against potential damages should they experience a data breach.

No matter what type of digital information a business uses, the accidental release of privileged data could leave that business financially liable for whatever damage is caused, both to the company and to others.

A competitive cyber insurance agency offering business insurance can make sure these risks are covered on a business policy to provide this now-essential protection.

Discuss cybersecurity and the liability protection that can prevent catastrophe in the event of a security breach with a cybersecurity insurance agency that knows all about it!