Insurance is a must for any successful realtor. Coverage from commercial car insurance, personal liability insurance, professional liability insurance, and property insurance protects realtors from multiple forms of damage that would otherwise take a devastating toll on a business. So let’s look at 3 major reasons every realtor should consider cyber liability insurance.
Why Every Realtor Should Consider Cyber Liability Insurance
Cyber liability insurance is yet another important form of coverage that may not be as commonplace. Still, it can spell the difference between a successful realtor and one facing the danger of professional ruin. As the name implies, it covers problems related to a cyberattack or data breach. It’s far more comprehensive than data compromise coverage, as it offers features and amenities a realtor needs to get back on their feet after a breach or hack. Following are three compelling reasons why every single realtor should seriously consider purchasing cyber liability insurance according to a top Los Angeles insurance agency.
Cyber Attacks are a Real Threat
Cyberattacks are becoming increasingly prevalent as hackers look for vulnerable companies and businesses to target. Unfortunately, real estate agents are particularly susceptible to attack as they often have a lot of personally identifying information (i.e., full names, SS numbers, bank account information, etc.) that can either be sold on the dark web or held for ransom by bad actors.
Recent statistics show that a whopping 64% of companies around the world have experienced at least one type of cyberattack. It’s not a question of “if” but rather “when.” Cyber liability insurance is the only coverage option that will cover all a realtor’s needs and enable them to get back in business as quickly and easily as possible.
Fast Data Recovery
Any successful realtor will work with a vast amount of data. Buyer information, seller information, and information about potential lenders enable a realtor to conduct business in a professional, efficient manner. Hackers know this and so use ransomware and other targeted attacks to lock realtors out of data. They then threaten a realtor with either permanent loss of data or a data breach unless the realtor pays an exorbitant sum of money.
Cyber liability insurance offers data restoration to help a realtor get data back as quickly as possible. If any data has ended up damaged in the attack, the insurer will fix any damages that can be repaired.
Protection from Damages
A cyberattack doesn’t just limit a realtor’s ability to do business. It can also result in legal action. There are penalties in place for losing personal data, especially if this data includes credit card information. What’s more, individuals who have had their personal data leaked and subsequently misused can sue the realtor over the breach.
Cyber liability insurance covers the cost of fines and compensatio. This way, a breach doesn’t permanently shut down a real estate company. As a side benefit, the ability to pay compensation quickly with funds provided by an insurer enables a realtor to put the episode in the past and avoid ongoing negative publicity that would otherwise cause a long-term loss of trust in the business.
Take Measures Today
Naturally, it’s far better to take measures to prevent a hack than it is to have to deal with the aftermath of one. Realtors should be aware of the risks of a breach and take measures to protect themselves by:
- Regularly updating software programs
- Using DNS filtering
- Picking safe passwords that can’t end up easily hacked
At the same time, even the most conscientious realtors cannot completely eliminate the risk of being hacked, which is why cyber liability insurance is in order to protect one’s business from the aftermath of a cyberattack. Contact Grand Mutual Insurance to learn more and start working with the best.
