Why Your Crime Underwriter Is Asking Questions About Social Engineering Controls

Social Engineering losses in the Crime insurance market are a relatively new trend within the past decade. However, the trend has rapidly increased in frequency due to the success the criminals have had stealing money. The criminals are continuing to find new and effective ways to use human interaction to obtain information that can compromise a company and lead to a theft of assets. The FBI recently issued a Public Service Announcement with some staggering details about the growing frequency and volume of losses. Please click here to see the PSA.

What makes social engineering especially dangerous is that it relies on human error, rather than vulnerabilities in software and operating systems. Mistakes made by legitimate users are much less predictable, making them harder to identify and prevent than a malware-based intrusion. The hacker will normally use urgency, fear or some form of a clever method to fool employees into handing them over confidential or sensitive information. Hackers know that most of the time an employee either doesn’t realize he or she is doing something wrong; or doesn’t understand the value of the information disclosed. It is this gullibility that creates a perfect atmosphere for a breach.

Read the latest article on how hackers talk their way into getting company secrets.

Prevent This From Happening to YOU!

The best way to protect against social engineering attacks, is to create a security-minded culture within your business or organization through continual education and training. Other recommended practices include:

• Employee training – Education is your most powerful to tool.
• Test both your internal and external systems for vulnerability.
• Update your operating systems, software and security patches regularly.
• Monitor systems 24/7 – protect systems that contain confidential information.
• Talk to your crime underwriter about coverages that may protect you.

Make Sure Your Clients Take a Proactive Approach To Protecting Their Business Should a Loss Occur

Make sure your clients have crime insurance. Take the steps to ensure that your clients are covered by calling one of the Berkley Crime team members listed below.