314.808.6865

Cyber Warning

Cyber Warning

More than half of U.S. businesses report that they experienced a cyber attack in the past 12 months, compared to 38% the year before, according to the Hiscox Cyber Readiness Report 2019. The report shows an increasingly hostile operating environment for businesses where 27% of U.S. companies experienced four or more attacks in the last year.

The mean cost of U.S. cyber incidents was $119,000, according to Hiscox’s annual report, which surveyed nearly 5,400 professionals who are responsible for their company’s cyber security.

Businesses are facing more than just data breach claims. In 2018, over 20% of complaints involved fraudulent instruction, social engineering and extortion, according to the FBI’s Internet Crime Complaint Center, while only 1% involved corporate data breach complaints.

Of the total losses reported, fraudulent instruction, social engineering and extortion accounted for 18.5% – $1.4 billion – of losses, while corporate data breaches made up only 1.6% – $118 million.

Any business using electronic devices, a computer or the internet is susceptible to ransomware attacks and fraudulent instruction threats. Businesses with an online presence through a website or social media can also be subject to multimedia wrongful acts claims. Kaestner & Berry offers a separate Cyber-Privacy Breach policy with broad coverage for your office security!

You Need A Dependable Carrier!

You Need A Dependable Carrier!

The financial strength rating of the carrier is a very important consideration in the selection of your malpractice carrier. For financial strength of an insurance company A.M. Best Company is considered by most to be the “gold standard. A.M. Best Company is a global credit rating agency serving the insurance industry. It is a source for an independent opinion of an insurer’s financial strength and ability to meet its ongoing insurance policy and contract obligations. Moody’s and Standard & Poor’s are also rating agencies equally respected in the market, although they issue ratings for a broader range of industries and do not focus solely on the insurance industry.

 

If your insurance carrier is not financially secure, it is the policy holder who is at risk of taking a financial blow on account of a claim that is not covered due to a carrier not being able to meet its obligations.

 

Kaestner & Berry reviews the A.M. Best ratings of all of the Lawyer Professional Liability insurers in the region. Call us if you have any questions about the financial strength of your malpractice insurance provider.