P rotection against cyberattacks requires pro-active risk management . Part of that risk management should be having the right insurance in place . These policies not only provide monetary coverage but help provide services and guidance should an attack happen . Having those resources in place during this stressful situation can help victims of cyberattacks get back to business .
That was some of the advice from Allen Blount , the leader of Risk Strategies ’ Cyber Risk Practice . CLDA Magazine sat down with him to find out how final-mile providers can protect their businesses against cyberattacks .
CLDA Mag : Let ’ s start with some information about you . Tell us about your role at Risk Strategies .
Blount : I lead the day-to day operations of the Cyber Risk Practice at Risk Strategies . We are an insurance broker that also provides risk management and consulting and offers our clients loss mitigation services that concentrates on the logistics industry .
CLDA Mag : Talk about the pervasiveness of cyberattacks ?
Blount : Cyberattacks have become widespread . They include ransomware attacks , phishing and , to a lesser extent , the potential of a “ systematic event .” In simplest terms , a systematic event occurs when a single cyber hack at one organization impacts or has negative implications across multiple organizations . For example , a systematic event could occur if a Transportation Cloud Management provider suffers a cyber event , it could negative impact the system of its customers . This could potentially send a ripple effect throughout the industry and has the potential to send ripples throughout the economic landscape . In the post-COVID era remote work has become more common and is one of the reasons that have contributed to the increase in cyberattacks . Because of this , we are constantly reminding our
clients to train employees to practice safe cyber habits while working from home .
CLDA Mag : Have they increased in the past 24 months ?
Blount : Yes , cyberattacks have increased in the last 24 months due to a surge in ransomware attacks . These have become more frequent because of the rise in the use of cryptocurrency , such as Bitcoin as a form of payment . These payments are generally untraceable .
CLDA Mag : What type of cyberattacks are the most common in the logistics space ?
Blount : The logistic space is not immune from cyberattack . It has become a prime target for hackers during the COVID lockdowns . As the logistics space becomes more reliant on technology - for example advancements in technology to track goods and vehicles - it is important that logistics companies focus on best practices such as employee training , patching , and 24 / 7 monitoring of their systems and networks . Along the same lines , logistics companies must determine if they are subject to exposure in both their operational technology and information technology areas and protect of them accordingly .
CLDA Mag : What types of businesses are the most vulnerable to a cyberattacks ?
Blount : Business that have poor cyber controls are most vulnerable and suffer the worst losses .
CLDA Mag : Why are cyberattacks particularly challenging for a logistics company ?
Blount : Because every mile matters . If an attack can interrupt the business process , the company will lose money as well as customer trust that in their ability to deliver in a timely and efficient manner . This could result in lost revenue and impact future contracts . spring 2023 I customized logistics & delivery Magazine 41