Retail businesses are in the cross hairs of hackers,
according to a recent report from Trustwave, a provider of data security
and payment card compliance solutions to businesses.
Retail businesses - specifically the cardholder data they possess -
were the primary target of cyber criminals in 2012, says Trustwave.
About 45% of the company's investigations were in the retail sector,
followed by food and beverage (24%), and hospitality (9%).
"Cyber could very well be the largest part of the exposure picture
for these retail businesses," says John O'Connor, Vice President of
Strategic Product & Platform Development for Travelers Insurance.
What makes the retail industry so appealing to cyber thieves? The
sheer volume of payment cards used in these businesses make them obvious
targets. Also, stores are relatively easy targets because they tend to
focus primarily on customer service, rather than data security.
Widespread reporting of costly and embarrassing data breaches have
made retailers increasingly aware of the exposures they face when
storing customers' data and swiping their credit cards.
Although hackers are targeting retailers of all sizes, smaller firms
are particularly vulnerable because they often find it more difficult
than their larger counterparts to keep their systems secure and to
afford the heavy costs of notifying their customers about data breaches.
One insurance agent said, "A lot of these businesses aren't the types
that can absorb these costs. A data breach is one of those things they
might not think about - but it can shutter their doors if it happens."
The good news: our agency can help you protect you against these
risks by offer a variety of comprehensive, competitively priced Cyber
Liability policies. Just give us a call.