About 43 percent of small businesses are targeted by cyber attacks, according to Small Business Trends, and the water industry is no stranger to the necessity of cyber liability insurance. WaterColor Management offers comprehensive crime, employee fidelity, cybercrime and cyber liability insurances for water and water treatment businesses.
When Syrian hackers infiltrated an American water utility and tampered with critical waterflow systems in 2017, it became apparent that it’s time for the water industry to take cyber security seriously. Cyber security has become an essential need in the age of technology and connectivity.
Without it, everyone is at risk. Of those at risk, most companies take at least six months to detect a data breach at all, during which they put themselves at an even greater risk of financial loss and data theft. That’s why WaterColor offers coverage through one of the world’s largest insurers for a wide range of clients, including employee and third-party crime, cyber asset and liability protection to the water industry.
If your client is unsure about whether this kind of coverage is a needed expense for their business, it’s time to break it down for them. This is the importance of cyber liability insurance for water businesses.
The Risks Businesses Face With Cyber Crime
Cyber crimes can take down an entire business within months of their detection, and the water industry is no stranger to the consequences of a cyber attack. When a cyber attack happens, these are the issues that businesses face when dealing with them:
- Reputation – The threat to the infrastructure is apparent, but there’s also the threat to the entire reputation of a business. If a reputation is tarnished because a business is unable to bounce back after a cyber attack, then it’s likely that the business will fail.
- Insider actions – The Syrian attack effectively held American water hostage, as well as power companies in Ukraine, the Israeli Electricity Authority and more.
- Culture change – Having better awareness of cyber attacks and how they change over the years is key for any business.
- Practical steps – While shelling money out is one way to fight against the problem of cyber attacks, it’s not the only thing that a business can do to be safe. Besides awareness, businesses must rely on having state of the art systems in place that can better detect when a breach occurs.
What Protections Are Offered?
WaterColor’s cyber policy covers first and third-party losses that happen due to an IT system breach. Things that can trigger a breach include:
- Fraudulent fund transfers
- Cyber extortion & ransomware
- Phishing including fraudulent instructions
- Data and systems security restoration
- Business interruption
- Losses of business owners’ personal funds
WaterColor offers some of the most competitive and targeted crime risk management, loss control consulting and experienced crime claims management. And when there’s a breach, WaterColor has a Cyber Breach hotline available for immediate assistance.
If coverage is needed, WaterColor can help, offering coverage limits from $100,000 to $5 million per occurrence. Minimum premiums start at $500. Remember that insurance policy terms depend on the coverage that your client is getting.
About Watercolor Management
WaterColor Management has insured the water industry for over 30 years. Our policies include unlimited defense cost coverage in the event of a lawsuit against you. Call us at (256) 260-0412 or email info@watercolormanagement.com for a quick quote for your Water Business Professional, Products/Completed operations, Pollution and General Liability Insurance.