How Cyber Insurance Protects Against The Threat of Bank Funds Transfer Fraud

Computer technology has elevated our culture to new heights. However, fraudulent cyber bank fund transfers present the biggest threat to businesses today. Hackers mirror trusted bank websites to steal your bank funds transfer. The Martin Insurance Team serving Evergreen Park, IL, can help explain how cyber insurance prevents disaster.

What is Bank Funds Transfer Fraud?

Bank funds transfer fraud is a common cybercrime in which hackers mimic a bank’s website to steal money. Cybercrime victims are asked to redirect funds to another source. Instead of paying bills or making an online purchase, the money is transferred to a hacker’s account. This type of crime makes it difficult to recover the lost funds because the hacker’s account disappears immediately after the transaction is completed.

What is Cyber Insurance?

Cyber insurance protects a business from financial losses caused by a cyberattack or data breach. It also helps with the major fines and legal costs associated with a lawsuit involving exposing a customer’s personal information to hackers. Thus, adding cyber insurance is a smart investment for businesses of all sizes.

The Difference Between General Liability and Cyber Liability

Bank funds transfer fraud can become an expensive proposition if your business does not have sufficient liability coverage. Unfortunately, general liability coverage will not help, as it protects against all physical risks, such as bodily injuries and property damage. Instead, you need cyber liability coverage that protects against financial losses from digital threats. The agreement covers data breaches, hacking of servers, and ransomware. Cyber liability is a welcome security blanket if you’re involved in a lawsuit over stolen customer data from the business’s computer system.

Cyber threats continue to rise in frequency. The Martin Insurance Team of Evergreen Park, IL, can create a cyber insurance policy that protects your business needs. Call and schedule an appointment today.