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Posts Tagged ‘business’

Cyberrisks to Contractors and Securing Proper Coverage

Posted on: June 29th, 2018

By: Barry Brownstein

Increasingly sophisticated hackers have targeted personal and business data held by companies like Target Corp., Sony Corp., Equifax Inc. and Yahoo Inc. during the past decade. The construction industry is just as susceptible to these risks as any other industry.  As construction projects increase in size and there is more sharing of data related to buildings and projects, and as more of that sharing becomes electronic, cyberrisks increase as well.

Contractors and their business partners hold personal information about their clients and employees, and they are increasingly using more electronic means to exchange data and survey construction projects. A significant threat for companies in the construction industry comes from the open and increasingly connected network between those in charge of a project and their various subcontractors and business partners, who need swift and seamless access to plans and other sensitive data to do their part of the work.

Many companies in the construction industry assume that since they have policies that cover losses stemming from physical and property damage, any infiltration into their systems that result in the loss of access to sensitive information is covered by such insurance.  However, most commercial general liability policies carve out cyberthreats from coverage.  While contractors can still make claims under more traditional policies and may find that some of their losses are covered, relying solely on these protections may be dangerous and result in uncovered losses.

Specialized cyberinsurance can fill in the gaps left by commercial general liability policies that do not account for losses caused by damage to virtual information systems, and ensure that any damages, injuries or delay caused by downstream contractors or business partners are covered as well. Once policies are in place, contractors need to revisit them regularly to account for changes in the cyberthreat landscape as they relate to the construction industry.

If you have any questions or would like more information, please contact Barry Brownstein at [email protected].

October is Cybersecurity Awareness Month

Posted on: October 15th, 2012

By: Dave Cole

You may already know that October is National Breast Cancer Awareness Month, but did you know that it also is National Cybersecurity Awareness Month?  In his proclamation of this as Cybersecurity Awareness Month, President Obama explained that, although our country benefits immensely from the Internet, increased connectivity brings increased risk of theft, fraud, and abuse.  This is true for businesses and consumers alike.

To help educate people about cyber threats, the Department of Homeland Security is leading the Stop.Think.Connect. campaign.  Stop.Think.Connect. is a national campaign to help people understand cyber threats and how to protect their online privacy.  There also are resources designed specifically for government and businesses, such as the “Small Business Tip Card,” which gives statistics on cyber threats affecting small businesses (did you know 40 percent of all cyber-attacks target businesses with fewer than 500 employees?) and helpful tips for preventing cyber-attacks and resources if your organization is attacked.

Cybersecurity Awareness Month is a good opportunity for organizations to review their cybersecurity framework.  If you have questions or need help improving your program or policies, please contact one of our attorneys.