BWD BWD Fall Winter 2017 2018_final | Page 11

FALL/WINTER 2017-2018 | BWD 11 Will your cyber insurance cover you if you don’t Cyber threats have become a critical concern for the country’s 28 million small businesses, with the Justice Department recording nearly 300,000 cybersecurity complaints in 2016 alone. Sixty percent of companies fail after a cyberattack due to the costs of the attack itself: legal, identity protection, lost time, lost data, lost clients and confidence. keep your system in shape? Not necessarily. Valley Techlogic, Inc. found a cyber insurance policy exclusion that refuses coverage for events “arising out of or resulting from the failure to, within a reasonable period of time, install customary software product updates and releases, or apply customary security-related software patches, to computers and other components of computer systems.” Check your policy, and your practices, to ensure your coverage is intact. Patches strengthen your system One of the most powerful and basic IT system maintenance tools you can use to keep hackers out is the “patch.” Patching can prevent hackers from getting into your system and compromising or even destroying your business. Every program you use, app you install and system you run is dependent upon good computer code. While code is not always perfect, every application regularly issues patches to fix defects in the programming. But let’s face it, with hundreds of pieces of software to manage, a help desk to run and all of the other responsibilities tasked to your IT department, downloading and installing patches is rarely a top priority. It’s time to move patches to the top of the list. Here’s why: Even after the patches were made available, many companies failed to implement them quickly enough — leaving them susceptible to WannaCry in May and the Petya ransomware in June. These attacks affected businesses such as FedEx, Mondelez International, Inc. and many others. Mondelez International, for example, said the cyberattack reduced their quarterly growth rate by three percent resulting in a drop in their share price. While Rehmann can help you respond to and recover from a hack, why not be prepared and keep a patch kit handy in the event of emergency? Your kit should include tools to help you track available patches for your system, a patch implementation plan and a broom to sweep out any obsolete equipment or software. To learn more about Rehmann’s patch kit, visit us at www.rehmann.com/patch-kit. Not patching is expensive The recent Equifax hack was possible because Equifax did not patch its systems. We do not know what the financial costs of this will be. But do you remember the WannaCry ransomware attack? Thousands of companies worldwide lost up to $4 billion when hackers used stolen National Security Agency (NSA) tools to cause havoc. Sadly, WannaCry was successful because businesses failed to install widely available patches to prevent it. When hackers stole the NSA hacking tools in 2017 and made them available to other cybercriminals around the globe, programmers at Microsoft released patches in March to prevent it from harming computers. REHMANN CAN HELP: 1 Define your patch system 2 Provide vulnerability scans to assess where patches are missing 3 Perform malware scans to ensure hackers are not already in your system References: http://www.propertycasualty360.com/2017/07/27/us-house-talks-cyber-insurance-threats-and-busines?slreturn=1501615119; http://www.valleytechlogic.com/2017/06/dirty-loophole-lets-insurance-companies-refuse-cover-cybercrime-theft-business/; http://www.cbsnews.com/news/wannacry-ransomware-attacks-wannacry-virus-losses/