In today’s world, most companies know they need to be vigilant about protecting their operations from cyberattacks. But the reality is there is a lot more to consider than just having a few security measures set up to protect the company from attack. Many companies have based their protection plan on an incomplete understanding of the different kinds of vulnerabilities and the much bigger financial risks they present. For example, many companies haven’t considered the potential loss that can occur from short-term lost sales or long-term reputation damage from a cyberattack. While it is challenging to develop an exact loss model, it is possible – and imperative – to create a more accurate model that considers all these threats. When a company understands the full ramifications of their risk, they can not only make better decisions about how much to spend on prevention but also how much insurance coverage is needed to protect the company from financial loss. To learn more about what it takes to do proper research and build a smart, well-designed, cyber risk model, check out this article on the Harvard Business Review website. You can’t afford not to.
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