The average cost of a data breach incident keeps going up and is around $3.8 million right now. Most companies are not able to sustain after that type of loss. A recent study sponsored by IBM found that the two sectors with the highest cost per stolen records was healthcare with retail following close behind. Each lost or stolen record that contained sensitive or confidential information averaged $145-$154 per record. This study spanned 11 countries and 350 companies. The study also showed that the purchase of insurance could reduce the cost of the data breach. MyDigitalShield just released the news that we now offer free MDS Data Breach Guarantee, backed by Assurant, for all commercial V-Shield Subscriptions.
Read the press release here for the full details: Assurant Partners with MyDigitalShield to Offer Small Businesses Protection against Data Breaches
The MDS Data Breach Guarantee includes reimbursement of costs related to, but not limited to:
- Data Restoration
- Systems Restoration
- Customer Notification
- Public Relations Expense
- Customer Credit Monitoring
It’s no wonder that MDS decided to guarantee a service that we are so confident about. As an additional benefit with MyDigitalShield’s cloud-based security platform, the MDS Data Breach Guarantee that is backed by Assurant, covers up to $50,000 for impacted businesses, at no additional cost to the users. With more than 700 U.S. businesses reported experiencing a data breach just last year alone, we felt that this partnership was an added level of security to our customers.
Read this next: Cyber Insurance: Do You Need It?
“Together with Assurant, we’ve developed a full-service solution to one of the real pain points for a small business today,” said Andrew Bagrin, CEO, MyDigitalShield. “Our multi-layered security filters and protects data traffic through any gateway, blocking threats and malware. Assurant brings an important, added layer of financial protection in support of our data breach guarantee, helping us to make our clients whole in the unlikely event that a breach does occur.”
Why offer this guarantee now? MDS knows that hackers tend to target small businesses most often, as they have far less cyber security practices in place, compared to large companies. Business leaders have quickly realized that cyber security is not just an IT issue, but an issue that the company needs to plan for in case a cyber attack occurs. Most cyber insurance companies policies cost on average $1,000 per year for small companies. Larger companies that have more accessibility for vulnerabilities, can expect to pay hundreds of thousands of dollars for a cyber insurance policy.
Cyber insurance companies predict that this niche insurance market will triple to $7.5 billion over the next five years!