Technology has grown and evolved immensely over the past 30 years. Technology has started new industries, evolved other industries like finance and insurance and left many other industries in the past.
Technology has been a revolution for businesses and people. It’s also fueled another revolution – cyber-crime. Cyber-crime costs have been projected to reach $2 TRILLION by 2019 – only two years away (source). The term “crime wave” is an understatement when you see the effects of cyber-crime to businesses and individuals. IBM Corp.’s Chairman, CEO and President, Ginni Rometty, recently said that cyber-crime may be the greatest threat to every company in the world.
In 2015, the British insurance company Lloyd estimated that cyberattacks cost businesses as much as $400 billion a year, which includes direct damage plus post-attack disruption to the normal course of business (source). For businesses that hold the private data of customers, this is their worst nightmare.
There are headlines about major cyber-attacks on corporations, retail giants, large healthcare companies, and even the IRS and other parts of the government and their contractors. When these attacks on major targets make the headlines, cybercriminals are also out there attacking smaller businesses. Smaller businesses are generally less protected than larger companies – which makes them easier targets (source).
For the insurance industry, one of the biggest cyber vulnerabilities is outdated technology.
The insurance industry is plagued by legacy systems – different software from different vendors pieced together, outdated equipment, and software and cybersecurity measures may not be as secure as you think they are.
Hackers and cyber thieves view this as a golden opportunity to find unprotected networks, unpatched devices, and other security holes. If they gain access to customer data or proprietary information, this is a breach of confidential information with lawsuits waiting to happen as well as a loss of reputation.
With this new risk growing at lightning speed, modern technology is the key to defending this. Stay modern, eliminate old legacy systems, and have a system that can seamlessly integrate security, web and email filtering, data encryption, backups, disaster recovery relief, and other security measures to keep your data and business safe.
At DRC, we can help you do that. One way is through our managed hosting service with a 99.9% uptime with hacker protection as well as disaster recovery plans. Learn more about DRC here.