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Data Breach Recovery

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Computer_Drill_10-14The news media are starting to use hysteric phrases like “cyber war”.  At least we think those are way overblown.  However, the threats and costs of data breach and cyber liability are growing.

We’ve offered some ideas about protection and recovery in our blog.  And data breach insurance is available.  (Not cheap, unless you compare it to the possible loss.)  But your best protection is planning, first for prevention, and then for recovery.  Here’s a quote from an IT professional we respect.

“It’s not enough to buy a “data backup solution”. You need to understand how it works and you need a clearly documented plan on how to access your data when and how you need it.”  Frank Ableson of Navitend www.navitend.com  “The costs to your business in terms of time and money are stunning in the event that you need to recover more than a file or two.”

Here are some planning steps

1) Look at what can take your IT systems down, whether by direct impact or because your entire business is disrupted.  How long might each last?  This is assessing the potential causes of loss.

2) How much might that cost you initially?  What are the long term losses? (Money, time, customers, potential customers, lawsuits, etc.)  This is assessing the financial impact, the chances of your recovery.

a) Make a list of impacted vendors.  What are they doing or what could they do to help you recover faster?

b) Make a list of key customers.  Which are the most affected if your systems are out?  Which have the most critical information in your hands, so that your loss of information is most threatening to them?  What can you do to increase protection for that information?

3) What is your back up?  Where is it?  How will you access it?

4) Talk with your IT provider about those issues.  What can they do to improve resistance and recovery time?  What is that worth vs. potential losses?

5) Review physical protection if you still store key information or records in physical form.  How do you restrict employee access to those who need to know?

6) Where is recovery money going to come from?  Insurance for physical damages is obvious; review data breach for your own losses and cyber liability for loss of customer information.

Given the costs of data breach recovery and cyber liability insurance, and the threat to your business, this is worth some planning time.  You can ask Frank Ableson of Navitend for advice on the IT end; 973-448-0070. And we can discuss the insurance issues with you; 800-548-2329.

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