With a quarter of small and medium-sized enterprises (SME) falling victim to a cyberattack in the last 12 months, the threat towards these organizations is constant. This is according to a new report from Direct Line – Business, which claims that businesses aren't doing all they can to stay safe.
The report states that, if a cyberattack were to occur, many organizations would find themselves in a seriously dangerous position given they hold less than $13,000 in cash reserves. Besides financial damage, many should also expect damaged client and customer relationships due to eroded trust.
With cybercriminals diversifying into different methods of attack, SMEs need to stay vigilant on multiple fronts. Phishing is still the most popular weapon for criminals, the report states, but malware and ransomware, as well as DDoS attacks, are also notable mentions.
According to Direct Line, SMEs aren’t doing all they can to protect themselves. Namely, most of them don’t have a specific insurance policy in place to help them recover after a cyber breach. To make matters even worse, some think they are covered by General Small Business Insurance policies, but could be “in for a nasty shock in the event of an attack”.
A significant minority also does not have encryption in place to protect sensitive files, and neglect the need for good IT management.