Cybersecurity and Insurance

Shopping online for holiday gifts? Protect yourself from cybercriminals, and consider Personal Cyber Insurance

What to Know

• In 2024, the FBI’s Internet Crime Complaint Center (IC3) logged 859,532 cybercrime reports nationwide, with losses exceeding $16 billion. Washington state accounted for 18,009 of those complaints, totaling more than $368 million in reported losses; Oregon recorded 9,011 complaints totaling more than $144 million; and Idaho reported 3,081 complaints totaling more than $63 million.

• Individuals and businesses that implement a robust cybersecurity strategy can help reduce the risk of a cyber-attack.

• More insurers now offer Personal Cyber Insurance policies for homeowners and renters upon request as an endorsement or stand-alone policy.

Millions of us will be hopping online to find gifts for loved ones this holiday season, and cybercriminals are well aware. With online scams on the rise, it’s more important than ever to take a few simple steps to safeguard your personal and financial information. And if you want an extra layer of protection, it might be worth checking whether your insurance policy can include cyber coverage.

Staying safe online is essential for both personal and business well-being. Even with solid safety habits, determined cybercriminals can sneak in through weak spots in your digital defenses. If that ever happens, a Cyber Insurance Policy can help you recover faster and with less stress.

More insurers now offer cyber insurance options for businesses, homeowners, and renters. Depending on the company, you might be able to add coverage through a stand-alone policy or as an endorsement to an existing homeowners or renters policy. Coverage can include identity restoration, attorney’s fees, lost wages, and assistance from a fraud specialist to help you navigate the recovery process.

Some standard business policies already cover certain cyber incidents — such as data recovery after a virus — but a full range of cyber liability protection typically requires a stand-alone cyber liability policy tailored to your business, according to the Insurance Information Institute.

If you’re concerned about cyber risks affecting your personal or business devices, reach out to your insurance representative to explore your coverage options.

In the meantime, building a basic cybersecurity plan can make a big difference. Here are a few helpful tips from NW Insurance Council and the Cybersecurity & Infrastructure Security Agency (CISA):

Online Shopping Tips

• Keep your software updated before you start shopping. Turn on automatic updates for your operating system and make sure browser plug-ins are current. Updated software helps guard against malware and other cyber threats.
• Skip the free public wi-fi when shopping online. It’s convenient, but it can expose your information. Instead, use a VPN or your phone’s hotspot.
• Pay with a credit card or pre-paid credit card rather than a debit card tied directly to your bank account.
• Check your bank accounts regularly so you can catch suspicious activity early.
• Shop on secure sites. Look for https:// at the start of the web address.
• Make sure a vendor is legitimate before sharing any information. Cybercriminals often create convincing fake sites to steal data.
• Watch out for phishing attempts. If a link looks odd, slow down before you click. Fake emails, texts, and calls are common tactics used to get personal or financial information or install harmful software.
• Planning to donate to a charity? Do a quick check to make sure it’s reputable. Never feel pressured to give immediately. Sites like CharityWatch can help you research organizations.

Personal Cybersecurity Tips

• Use trusted anti-virus and firewall tools to help block malware and viruses.
• Create strong passwords and manage them well. A password manager can help keep everything secure and organized. Change your passwords every six months, and use long, complex combinations with special characters and mixed-case letters.
• Turn on multifactor authentication, which adds a second step (like a verification code) to help confirm your identity when you sign in. 
• Secure your mobile devices with a strong password, install apps only from trusted sources, keep everything updated, avoid texting sensitive information, and back up your device regularly.
• Don’t leave your devices unattended. Store laptops, phones, and tablets in secure places when you step away, and lock your screen if you’re on a desktop.

For more guidance on staying safe online, visit the U.S. Department of Homeland Security’s CISA website.

If you or someone you know has experienced a cybercrime, the Internet Crime Complaint Center (IC3) provides resources and a place to file a complaint. For help with identity theft and reporting options, visit the Federal Trade Commission’s Identity Theft website.