Quite simply the introduction of new Privacy legislation in March 2014 changed the landscape for all sized firms to consider privacy protection and subsequently cybercrime to protect their business, regardless of size.
The Privacy Act 1988 (Privacy Act) protects personal information. Personal information is information or an opinion that identifies someone or could identify someone. Some examples are your client's name, address, telephone number, date of birth, medical records and bank account details.
On 12 March 2014, changes to the Privacy Act commenced. These changes include a new set of Australian Privacy Principles which set out how private sector organisations must handle personal information. They also include changes to the way credit information can be collected and used.
Therefore, if you think about how most businesses trade, you start to realise that any business that holds customer details need to understand and comply with the new legislation. Eg retailers who simply use EFTPOS machines or take client's credit card details. Companies like your own brokerage firm that use IT systems to collect information and money from your clients - is their information adequately protected?
Below is a link outlining how the new legislation has changed and how it can affect you and your clients:
What about Cyber Crime? How are small businesses exposed?
Wikipedia defines Cyber Crime as: https://en.wikipedia.org/wiki/Cybercrime
Computer crime or cybercrimeis crime that involves a computer and a network (we all have one of those!)
It goes further to explain that, The computer may have been used in the commission of a crime, or it may be the target. It defines cybercrimes as: "Offences that are committed against individuals or groups of individuals with a criminal motive to intentionally harm the reputation of the victim or cause physical or mental harm, or loss, to the victim directly or indirectly, using modern telecommunication networks such as Internet (Chat rooms, emails, notice boards and groups) and mobile phones (again we all use these tools in our private and professional lives).
Our news feeds are filled with many examples of Corporate Cyber Crime – they sound surreal and the idea of “it won’t happen to me ” is still common with small to medium sized companies - they simply just don’t believe anyone would ever do that to them - but isn’t that what insurance is all about – protecting against the unforeseen?
We are all intrigued by a good Cyber Crime story – in fact we have found a list of the Top 10 Cyber Crimes of 2015 for you – check out the link below:
So how can a small company protect themselves?
There are many options in the market for companies to protect themselves against cyber liabilities but not all companies can afford the premium associated with the level of coverage offered. An alternative could be an endorsement to an existing policy.
An overview of coverage available through our recommended insurer is as per below:
Section a) Third Party cover-
This covers reasonable costs incurred such as:
So if you would like to talk to us or need a quote please contact us on 07 5586 9955