Cybersecurity is becoming more important than ever for small businesses like insurance agencies. As we become increasingly dependent on technology, we also become more vulnerable to cyber-attacks. Unfortunately, traditional security methods like firewalls and antivirus software are no longer sufficient to protect against modern threats.
A report from Verizon found that 43% of cyber attacks target small businesses, even though they likely have fewer resources dedicated to cybersecurity.
Cybercriminals today are extremely sophisticated and relentless in their efforts to breach defenses and steal valuable data.
The average cost of a data breach for a small business is around $200,000 according to IBM Security. This can be devastating for a small agency.
The old castle-and-moat approach to security is outdated. Cyber threats are constantly evolving, and a firewall alone is not enough anymore. Antivirus catches known threats but is ineffective against novel attacks. Small businesses need to move toward layered security models that protect across devices, networks, and users.
This blog will explore the concept of layered security and provide real-life tips to help insurance agencies strengthen their cybersecurity defenses. Protecting client data and ensuring business continuity should be top priorities.
The traditional castle-based security model focuses on building one strong perimeter around your data and systems. This involves deploying a firewall, antivirus software, and access controls like passwords. However, today’s cyber threats are relentless, sophisticated, and constantly evolving. A single defensive barrier is no longer enough.
Modern security requires taking a layered approach tailored to different types of users and access requirements. Here are some examples:
This layered model provides several key benefits:
By taking a user-focused, data-centric approach to layering security controls, businesses can better defend against modern cyber threats.
Cybercriminals are becoming increasingly sophisticated in their attacks against small businesses. Many insurance agencies falsely believe “it won’t happen to me” or that their basic antivirus is sufficient protection. This complacency makes them prime targets. Agencies need to take proactive steps to secure their systems and data.
Simple but critical actions include using strong passwords, enabling multi-factor authentication, keeping software updated, and conducting regular cybersecurity training for employees. The human element is one of the weakest links, and cybercriminals exploit this through phishing emails, social engineering, and other tactics that bypass technological defenses. Awareness training helps employees identify risks and make smart security decisions.
Blurring the lines between business and personal activities online creates unnecessary risk. Employees should avoid using personal devices like smartphones for company email or file access. Separate business-issued devices with consistent security protocols across the board are ideal.
This separation makes it easier to apply and manage security policies while reducing the attack surface. Personal apps, emails, and web browsing should be kept off company equipment to prevent infections. Dedicated business email addresses also help clearly distinguish professional communications.
Going beyond standard antivirus and firewalls is a must today. A layered security approach that covers endpoints, networks, cloud environments, email, and more is needed. This “defense in depth” philosophy protects against different attack types from various vectors.
Modern remote work increases vulnerabilities if virtual private networks (VPNs), device management, and cloud security are not addressed. Agencies can’t protect what they can’t see – so comprehensive monitoring, prevention and response are key.
Being compliant with cybersecurity regulations is not optional. The common excuse of “I didn’t know” does not hold up. Agencies must understand requirements such as the NIA Model Law and NIST Cybersecurity Framework.
Two key aspects of compliance are implementing reasonable security measures and reporting incidents before affected consumers do. Resources like the NIA’s Model Law guidebook and NIST’s online framework knowledge base make compliance more manageable today.
Following best practices and partnering with experts substantially reduces an agency’s risk and liability when incidents occur. Uninformed agencies that ignore compliance put their business in jeopardy.
The core takeaway is that ignorance and inaction are no longer viable options. Cyber attacks can cripple small businesses, leading to steep costs and reputation damage. The time is now to close security gaps, separate business and personal digital activities, and invest in modern solutions that provide 24/7 monitoring and rapid response.
Insurance agencies handle highly sensitive information and cannot afford to be the weak link. With the right layered security approach, this vital industry can lead the way in thwarting cyber threats.
Don’t wait until it’s too late – take action now to implement robust cybersecurity defenses.
Start by assessing your current cyber posture by scheduling a 30-minute meeting with our experts.