Cyber Security Becoming Greater Concern for Businesses

27 Aug 2013
HomeNews StoriesReportsSecurityCyber Security Becoming Greater Concern for Businesses

More companies are getting insurance against data breaches, it has been revealed. Currently less than a third of companies have data breach insurance in place, but the numbers are expected to grow, according to a new study from Experian and the Ponemon Institute

The results of the study demonstrate that businesses are thinking more about the risks of cyber threats, and are even considering them to be greater than other major risks.

The great fear for many companies is the financial impact that a data breach can have on them. 56% of the respondents had experienced breaches in last two years, with an average cost of $9.4 million, showing just how serious a data breach can be.

The study found that more companies consider purchasing insurance after suffering from a breach. Currently only 31% currently have insurance, but more are planning to purchase a policy. Those that have not yet purchased insurance have said that price is a factor.

In a separate report, GDS International carried out a survey of companies, and over half of the respondents said that data security spending was high on their list of priorities in the coming year. A similar amount said cloud security was also a concern, and social media security is also becoming more of a concern.

This all shows just how seriously companies are taking their online security. Data breaches can present huge financial damages to companies, so are you taking your data protection seriously?

 

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