Just like good driving helps you get major discounts on your car insurance, better cybersecurity can have a positive impact on your cybersecurity insurance requirements and premiums. So what’s the equivalent of the “safe driver discount” in the cybersecurity insurance world? Let’s find out what you can do to lower your premiums.
1. Multi-Factor Authentication (MFA): Strengthening Your First Line of Defense
Multi-factor authentication (MFA) adds an additional layer of security beyond just passwords. It requires users to provide two or more verification factors to gain access to a resource such as an application, online account, or VPN.
Implementing MFA reduces the likelihood of unauthorized access by ensuring that even if one factor (like a password) is compromised, an attacker still needs to clear additional hurdles. This additional security measure is increasingly becoming a standard requirement for lower insurance premiums.
To deploy MFA across your organization, consider using software solutions such as Microsoft Authenticator, Google Authenticator, or Duo Security. Ensure that all critical systems and sensitive data are protected by MFA.
A managed service provider can implement, manage, and train on MFA instead of deploying and managing it in-house.
2. Regular Data Backups and Disaster Recovery Plans
Having up-to-date backups minimizes the damage from ransomware attacks and other data breaches. Insurers often offer better rates to businesses that can demonstrate robust recovery measures, as it reduces the overall risk and sometimes is required to meet cybersecurity insurance requirements.
Implementation Tips
Follow the 3-2-1 backup rule:
- 3 copies of your data
- 2 different storage mediums
- 1 off-site backup
Leverage cloud solutions like AWS, Google Cloud, or Azure for efficient and secure backups. Regularly test your disaster recovery plan to ensure rapid and effective restoration of services.
3. Employee Cybersecurity Awareness Training
Employees are often the weakest link in an organization’s cybersecurity. Phishing, social engineering, and other human-based attacks can easily bypass technical defenses if employees are not adequately trained.
Implementation Tips
Conduct regular training sessions and simulated phishing attacks to keep employees vigilant. Use gamification techniques (many MSPs will have this built into their curriculum) to make learning fun and engaging. Incorporate real-world scenarios to emphasize the importance of cybersecurity.
4. Endpoint Protection and Monitoring
Effective endpoint protection lowers the risk of malware and targeted attacks. Some insurers consider this a cybersecurity insurance requirement when assessing your security posture, often leading to lower premiums.
While traditional endpoint protection plays a crucial role in securing devices, its capacity to proactively respond to threats can be limited. This is where Endpoint Detection and Response (EDR), Managed Detection and Response (MDR), and Extended Detection and Response (XDR) tools become essential.
Unlike Security Information and Event Management (SIEM) tools, which focus on monitoring and log retention, EDR, MDR, and XDR solutions take an active stance by automating threat detection and response processes.
EDR systems work by continuously monitoring endpoint activities, identifying suspicious patterns, and enabling swift corrective actions. MDR provides outsourced management of EDR solutions, offering expert analysis and response services.
XDR extends these capabilities across multiple types of security telemetry beyond traditional endpoints to offer a more holistic view of the network. Implementing these advanced tools not only enhances security but can also positively influence insurance assessments by reducing the overall risk of significant security incidents.
Implementation Tips
Integrate endpoint protection tools with a Security Information and Event Management (SIEM) system for centralized monitoring and rapid response. Regularly update and patch all endpoint devices to protect against new vulnerabilities.
5. Regular Vulnerability Assessments and Penetration Testing
Proactively preventing breaches demonstrates a commitment to security, which insurers favor. This proactive approach can lead to better insurance rates and a stronger overall defense.
Implementation Tips
Conduct vulnerability assessments at least quarterly and after any major changes to your network or infrastructure. Perform penetration testing to simulate real-world attacks and identify potential entry points.
6. Having an Incident Response Plan In Place
An incident response plan is one of the most critical parts of a cyber insurance questionnaire and could have a major impact on your premiums. This plan outlines the steps to be taken in the event of a cyber attack and reduces the impact on your organization.
Implementation Tips
Make sure all employees are aware of the incident response plan and their roles during an attack. Regularly review and update the plan to reflect changes in technology and business processes. Consider hiring a third-party incident response team to assist in the event of a major breach.
Unlock Lower Premiums With Hummingbird.Tech
After a consultation with Hummingbird.Tech, you’ll know which cybersecurity tools would benefit your business the most. Our experts can help you implement these six essential controls—and more—to improve your cybersecurity posture and cybersecurity insurance requirements.
Elevate your security, reduce your risks, and enjoy the peace of mind that comes with knowing you’re well-protected. Schedule a call with us today!