As we begin to get a glimpse of what a post-pandemic world might look like, now is an excellent time to evaluate the adaptations that may remain in place to ensure they don’t open your business to unacceptable risks. If any of the following operational shifts sound familiar, it is important to understand the associated issues. Thankfully, one way to help protect your business from these risks is by updating your cybersecurity insurance coverage.
- Enabled employees to work from home.
The pandemic lead to a mass exodus from workplace offices to home offices, and for good reason – it kept employees safe while giving them the flexibility to keep working. However, allowing employees to use their personal devices or even company devices at home could present security risks such as cyber threats. For example, remote work has increased the average cost of a data breach by $137,000, according to the 2020 Ponemon Institute report. The impact of a data breach can be existential to a small business without cyber insurance.
- Entered into a formal or informal partnership with another company to tide you both over during the pandemic.
Such agreements usually involve sharing of data, which leads to concerns about data security and breaches. In addition, any commingled operations could create new risks from an insurance perspective.
- Using a new supplier.
Changing suppliers can affect a host of business areas, including customer contracts, product liability, and data access.
- Changed the mix of products and/or services you offer.
New products come with new and sometimes hidden liabilities, as do expanded services like home delivery or curbside pickup. Any of these new offerings can have implications for the kinds of insurance coverages you carry, including Workers Compensation and Auto Liability.