Web-related risks such as viruses, information misuse, and libel also have the potential to cost business millions of pounds.
In a survey of 500 senior managers, 62% said that they had not considered insuring themselves against these types of risk and if they did, would not consider spending more than couple of hundred pounds on it.
Meanwhile, 61% of small businesses said that they did not have a ‘firewall’ in place to protect against intrusion, and 76% said some systems have virus protection software installed, but not all.
‘The complacency of small to medium-sized businesses towards system-related risk gives serious cause for alarm,’ said David Walsh, managing director insurers Clickforcover.com.
‘Businesses need to understand what web-related risks actually are, what steps they need to take to protect their business and why they need to insure themselves adequately.’
The Clickforcover survey also highlighted a potentially dangerous lack of awareness among SMEs.
Some 41% of the senior management were not aware of their legal liabilities in relation to the internet on their business. Only 12% of SMEs said they were concerned that e-mail was legally binding and only 10% said they were concerned about employee misuse.
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