In today’s day and age that largely depends on IT and electronic correspondence, legal entities are more and more exposed to various forms of cybercrime.
Cyber attacks such as espionage, warfare, terrorism, frauds and bullying can have a devastating impact on legal entities, their employees, clients, insurers, and third parties. Such actions can lead to intellectual property theft, corporate strategy endangerment, embezzlement or personal and confidential data manipulation, and loss in brand and entity reputation. In some cases, the entire business might be at risk.
As cybercrime has a great impact on organizations, the issue has outgrown IT departments which have until recently been the only ones in charge of cybersecurity, to become one of the strategic risks that the executive management approaches with special care.
THE MOST COMMON CAUSES OF CYBERATTACKS ARE:
- Lost or stolen devices
- Hacking
- Employee mistakes
- Viruses
- Loss of personal data
- Improper archiving
Cyberinsurance can cover personal liability for various scenarios and damages caused to third parties by a cyberattack, such as work stoppage for the duration of damage control, IT system damage, consequential damage to the reputation, regulatory and investigation expenses, own and external costs of delivering notifications, ransomware, court fees, and others.
