INSURANCE CORNER
Protecting Your Dealership from Cyber Losses Welcome to the 21st century crime wave
By Todd Shepard, Owner Shepard & Shephard Insurance
the global issues facing all of us. Our dependence on this technology exposes all businesses to what is called a Cyber Attack.
Electronic theft of your assets
A cyber criminal simply transfers your funds using social engineering scams. A common scenario is ybercrime is one of the when the bank calls to let you know More than ever we send things most talked about subjects there has been suspicious activity, electronically rather than by mail. facing businesses today. most commonly a questionable Unfortunately, it is also one of the We bank online rather than in person. wire transfer, on your account. most misunderstood and avoided Data, including our customer’s The bank ‘rep’ (who is actually subjects. Lengthy articles full of personal data, is scanned and stored a cybercriminal) requires you to jargon and buzz words and hard electronically potentially making provide your log in and password to understand information can be these records available to anyone, so they can investigate the matter. confusing for many of us. Besides, anywhere, anytime. The business owner or bookkeeper we are in the business of selling provides this information hoping Incidents of cybercrimes have cars and we don’t typically have to stop the problem immediately. sophisticated computer systems, how doubled in the last five years and, Once this information is provided the does this really impact our business? given our continued developments cybercriminal will initiate transfers and dependence on technology, it is When we talk about Cyber Risks, we from the account. When we hear not going away. are really talking about protecting of such a scam it is easy to judge the scenario and say “that wouldn’t yourself and your business from a Fortunately, insurance companies happen to me” however the surprise type of ‘Crime’. have created what is called a of hearing the account has been ‘Cyber Insurance Policy’ that Technology has increased hacked combined with the skills of provides insurance coverage for tremendously over the last couple the cybercriminal often catches us these types of attacks. decades, changing the way off guard. we shop, bank, or make travel Before we discuss cyber insurance From the bank’s point of view, if it arrangements. Things are simply let us look at a few cyber incident is determined negligence on part different now, especially considering scenarios. of the business allowed the criminal
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13 | the Front Row | wsiada.com | November/December 2019
the Front Row | wsiada.com | November/December 2020 |
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