Protecting Your Trucking Business from Cyber Threats
Hey, what’s up? It’s Jeremy from Ochsner Insurance, and welcome to Cyber Monday. We’re not trying to sell you stuff—we’re here to give you valuable information. This episode is all about cyber insurance and the top 10 ways bad guys might attack your trucking or transportation business. So, let’s get started.
Why You Need Cyber Insurance
Let’s start with a quick story: The average cost of a cyber claim from a data breach is $4.24 million, according to ProWriters. Imagine if your trucking company got hit by ransomware demanding a million dollars, and the claim ended up costing $4.24 million. What would that do to your business? Many companies choose not to have a broad form cyber insurance policy, but let’s talk about why that’s risky.
Top 10 Cyber Threats for Trucking and Transportation Companies
- Data Breaches Data breaches happen when private information gets exposed. Small businesses often get targeted because they have weaker security. This can lead to big costs, including fines and the expense of notifying clients and vendors about the breach.
- Ransomware Is a type of malware(software that bad actors use to steal data, disrupt systems or damage hardware.) that locks up your systems until you pay a ransom, often in cryptocurrency. This can stop your operations, making it impossible to schedule or track shipments.
- Business Interruption A cyber-attack can shut down your business for days or even weeks. If your network or critical systems go down, you can’t manage logistics, leading to significant financial losses.
- Social Engineering Social engineering tricks employees into giving away confidential information, like login details. This can then be used to access bank accounts or other sensitive data.
- Third-Party Liability If your business suffers a data breach, you might be held responsible for damages to customers, vendors, and partners. This can include costs for stolen documents, legal defense, and compensation.
- Supply Chain Attacks Cybercriminals can target your supply chain, causing disruptions, financial losses, and damaging business relationships. This is especially relevant for trucking companies that rely on interconnected networks.
- Telematics and IoT Devices Things like dash cams and GPS systems can be entry points for cyber-attacks. Protecting these devices is crucial to keeping your network secure.
- Regulatory Compliance If you don’t follow data protection laws, you could face heavy fines and increased scrutiny. Staying compliant is essential to avoid these penalties.
- Cyber Extortion Beyond ransomware, cyber extortion involves threats to release sensitive information unless a ransom is paid. This requires both financial resources and strategic management.
- Reputational Damage A cyber-attack can hurt your reputation, leading to lost business and the need for expensive marketing campaigns to rebuild trust.
How to Prevent and Fix Cyber Issues
Work with your Cyber Security team or managed services provider to come up with your cyber security plan. Here are some ideas on how to help make your business more cyber secure.
Email Filtering and Training Set up email filtering to block phishing emails. Train your employees to recognize and avoid phishing attempts.
Early Detection is key. Some experts say it’s not a matter of if, but when you will have a cyber event. EDRs are becoming required by some cyber insurance carriers. These can be extremely important to stop damage to your systems before it becomes extreme!
Data Backup and Continuity Plans Regularly back up your data and have a solid plan for continuing operations if you get hit by a cyber-attack.
Broad Form Cyber Insurance A broad form cyber insurance policy provides full coverage for various cyber threats, including data breaches, ransomware, business interruption, and social engineering. For Ransomware, make sure your policy is “pay on behalf” and not reimbursement.
Conclusion
Understanding these top cyber threats and taking steps to prevent them can greatly reduce the risk of an attack. Work with your IT team or a managed services provider to create a strong cybersecurity plan. Pair that with a broad form cyber insurance policy to protect your business from cyber threats.
Thanks for tuning in to Cyber Monday. We hope you found this information valuable. Like and share this content, and here’s to your continued success and cybersecurity.
Jeremy Ochsner
Ochsner Insurance
References:
https://nmfta.org/trucking-cybersecurity-stopping-hackers-from-directly-attacking-our-trucks