Aviva: Brokers can play key role in protecting clients from increased cyber risk

Brokers-can-play-key-role-in-protecting-clients-from-increased-cyber-risk

Aviva says brokers critical to helping educate customers on how to improve resilience and ensure they have taken reasonable steps to protect themselves due to the increase in hacking activity

Aviva is urging small-to-medium-sized businesses (SMEs) to step up their cyber security following alerts from government agencies that the commercial world faces an increasing risk of an online attack.

The National Cyber Security Centre asked organisations in the UK to bolster their online defences in light of recent viruses and hacking against Ukrainian organisations1, and Aviva wants to help brokers and their customers to ensure that they are doing everything they can to protect their business from a cyber event. Most cyber-attacks are not specifically targeted and therefore all businesses are at risk – regardless of shape, size or sector. In fact, 91% of UK companies asked had at least one successful email-based attack in 20212.

Implementing basic cyber controls can dramatically reduce the likelihood of an organisation becoming a victim of a cyber-attack. For example, the US Cyber and Security Infrastructure Agency states that something as basic as implementing multi-factor authentication – where a successful login requires two separate identity checks – can reduce the chances of a cyber-attack by 99%.

Brokers can play a key role in helping make their business customers aware of how they can protect themselves. Implementing some basic protective actions will not only help protect the business from falling victim to a cyber-attack, but it will also ensure they continue to receive all the benefits of their policy.  

Some of these actions include:

  • ensuring any access and passwords are personalised and stored securely, and not relying on manufacturer settings;
  • back up all data offline regularly  – at least once a week, preferably more frequently;
  • ensure personal data is stored safely and securely;
  • install any software or firmware updates within 14 days of release;
  • ensure firewall and virus protection software is installed, active and updated according to the software provider’s instructions
  • small businesses that rely on outsourced service providers should have a back-up plan in place in case they become the victim of a cyber attack

Cyber a top-10 business risk

According to Aviva’s recent Risk Insights Report3, a cyber-attack is the eighth most significant risk that businesses face. Six-in-ten (62%) businesses who highlighted the risk said they were worried about the threat of a cyber-attack, with 19% saying they were extremely worried. Businesses said they were most exposed to operational disruption and loss of data because of a cyber-attack, with 37% of businesses citing both exposures. Damage to brand and reputation (31%), loss of customer confidence (17%) and financial impacts (28%) were also seen as significant threats stemming from a cyber-attack.

Some of this concern will come from personal experience: one in seven (14%) businesses reported that they were the victim of a cyber-attack in the last 12 months, with 11% of businesses suffering a data breach or cyber-attack and 5% suffering extortion, including cyber extortion (predominantly ransomware). This makes cyber-attacks one of the most frequent – and damaging - risks that directly affect businesses.

Alana Muir, Regional Cyber Underwriting Manager at Aviva, said, “Unfortunately, the threat of a cyber-attack continues to grow. Businesses were forced to adopt remote working during multiple lockdowns, which stretched networks and exposed business systems to attack. However, as we emerge from one business challenge, we are faced with another due to the conflict in Ukraine.

“It’s understandable that many small businesses may not draw a link between the conflict in Ukraine and the increased cyber risk to their own business. However, as the National Cyber Security Centre has advised British businesses to improve cyber resilience following the crisis in Ukraine, we wanted to ensure brokers and their customers were aware of the increased risk and could take the necessary steps to protect themselves.

“Cyber-attacks tend to exploit a network’s vulnerabilities, and from there they follow an unexpected logic, moving from one business to the next.  Once it’s out you cannot control it. For SMEs in particular, cyber-attacks can be devastating to the company’s reputation, as well as its bottom line.

 “We think that brokers, as trusted advisors to their customers’ business, have an important role to play in helping their SME customers identify and prepare against this increased threat. Aviva has materials on its broker site that brokers can use to help explain cyber risks to their customers, and steps they can take to protect their business.”

 To help UK businesses, Aviva has launched a cyber guide for businesses, featuring tips on how to protect themselves from cyber incidents.

Download Aviva’s cyber guide HERE

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About Aviva

Aviva Insurance Limited is one of the UK’s leading insurance companies, part of the Aviva group with 34 million customers Worldwide. Aviva Insurance has been in the insurance business for more than 300 years.

In UK commercial, the insurance market remains challenging for insurance brokers and customers, due to the ongoing economic conditions. Aviva Insurance are focusing on improving our processes to ensure Aviva provide commercial customers with insurance cover at an acceptable price. Insurance brokers also recognised our excellent customer service by voting us Insurance Times General Insurer of the Year in 2012, for the second year running. youTalk-insurance sharing Aviva insurance news and video.

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