Coleman Insurance Brokers Talk Talk Cyber Security

Following the recent high profile Talk Talk and Experian data hacking and data breaches that have made headline news in the last week Coleman Insurance Brokers are urging businesses to take the time to review and assess their resilience to a cyber-attack, which will in turn help them to protect their reputation and to reduce their risk exposure.

Clive Price Commercial Insurance Manager at Coleman advised, “Cyber threat remains a significant and growing risk facing UK business. 81% of large businesses and 60% of small businesses suffered a cyber security breach in the last year, and the average cost of breaches to business has nearly doubled since 2013.” Police are currently investigating a "significant and sustained cyber-attack" on the TalkTalk website.

The phone and broadband provider, which has over four million UK customers, has said banking details and personal information could have been accessed. Experian, the world’s biggest consumer credit monitoring firm, is poised for its worst trading session in 18 months after it revealed a massive data breach this week where almost 15 million people, including customers of T-Mobile US who applied for service, were affected. Clive commented,

“By asking the right questions of our clients, we can help promote the adoption of good practice, and reduce the frequency and cost of breaches. By explaining how cyber risks are exposing businesses, we can assist companies to evaluate the size of any potential problem and help to provide solutions and encourage robust cyber security risk management arrangements. There is a statutory need to inform the Information Commissioners Office (ICO) if there has been any loss of personal identifiable data.

The ICO’s default position is to assume negligence and ensure customer losses are minimised, particularly where the customer is a consumer. The ICO will levy fines and penalties commensurate with not just the size of the loss but linked to the businesses’ preparedness. Having evidence of a thorough review will help to satisfy the ICO.

Even if a review results in no action being required, at least this has been an informed decision. Many companies might think that no one is interested in their data. However a company’s reputation with suppliers and customers would be at risk if their data was deemed to be poorly secured.” Concluding,

Clive added, “The costs involved with cyber- crime can be significant and often underestimated by companies. Company losses are not just about direct loss but also arise out of management time and post loss recovery. These costs can be significant and in some cases terminal.” Anyone wishing to discuss cyber insurance is asked to contact Clive Price at Coleman Insurance Brokers Clive.price@colemaninsurance.co.uk Tel: 01202 647425