An analysis of CNA claims data from 2012-2016 shows that the following are the most common causes of claims:
- Human error – 34%
- Hacking – 25%
- Theft of laptop, tablet, or other device – 12%
- Violation of privacy statutes – 10%
- Malware and ransomware – 8%
- Phishing – 6%
- Fraudulent transfer – 4%
- Other – 13%
A layered security approach, consisting of secure password practices, multi-factor authentication and security awareness training can go far to prevent such breaches.
Certain industries have emerged as particularly vulnerable to cyber attacks with Healthcare organizations at a 15% risk. One specific incident was with a medical group infected with a ransomware virus. The malware, disguised as a legitimate file, encrypted the targeted computer files, revealing a ransomware note and address from the extortionist seeking ransom. The organization became paralyzed with the inability to access the files until the ransom was paid and the malware author gave the decryption key unlocking the files. As technology continues to become more sophisticated, we are seeing more and more of these types of breaches.
The key question is how do you best protect your business? The answer is with a Technology/Cyber Liability policy. We have specialized in the insurance needs of the health care industry for over 35 years.