What is Cybersecurity Insurance?

What is cybersecurity insurance?

Cybersecurity insurance is a type of insurance policy that covers the costs and damages associated with cybersecurity incidents, such as data breaches and ransomware attacks. It typically provides coverage for expenses such as legal fees, customer notification costs, credit monitoring services, and cyber extortion payments. Cybersecurity insurance can help organizations mitigate the financial impact of a cybersecurity incident and protect their reputation and customers. It is typically offered as an add-on to a general liability or business insurance policy.

What is covered?

Cybersecurity insurance typically covers the costs and damages associated with cybersecurity incidents, such as data breaches and ransomware attacks. It may provide coverage for expenses such as:

• Legal fees: Coverage for the costs of hiring lawyers and other legal professionals to defend the organization in the event of a lawsuit related to a cybersecurity incident.

• Customer notification costs: Coverage for the costs of sending notifications to customers in the event of a data breach, such as mailing letters or providing credit monitoring services.

• Credit monitoring services: Coverage for the costs of providing credit monitoring services to customers who may be at risk of identity theft following a data breach.

• Cyber extortion payments: Coverage for the costs of paying cyber extortion demands, such as ransomware payments, to prevent the release of sensitive data or the disruption of the organization's operations.

• Loss of income: Coverage for the loss of income resulting from a cybersecurity incident, such as a disruption of the organization's operations or a loss of customers.

• Business interruption: Coverage for the costs of continuing operations, such as temporary relocation or temporary staffing, following a cybersecurity incident.

How do I get cybersecurity insurance?

Research different insurance providers and compare their cybersecurity insurance policies to find the one that best fits your needs.

1. Contact the insurance provider to request a quote and discuss the details of the policy, including the coverage limits and exclusions.

2. Provide the insurance provider information about your organization, such as its size, industry, and current cybersecurity measures.

3. Review the policy terms and conditions carefully to ensure that it covers the types of threats and risks that are relevant to your organization.

4. Submit the required documentation, such as proof of current cybersecurity measures and any relevant security audits, to the insurance provider.

5. Pay the premium and obtain a copy of the policy.

6. Regularly review and update your cybersecurity measures to maintain compliance with the policy and protect your organization from potential threats.

What are the requirements to get cybersecurity insurance?

The requirements for cybersecurity insurance can vary depending on the provider and the specific policy. Some common requirements include the following:

A written cybersecurity plan: The insurance provider may require the organization to have a written cybersecurity plan that outlines its policies and procedures for protecting its data and systems.

• Regular security training for employees: The insurance provider may require the organization to provide regular security training for its employees to educate them on how to recognize and prevent cyber threats.

• Encryption of sensitive data: The insurance provider may require the organization to encrypt its sensitive data, such as financial information and personal data, to protect it from unauthorized access.

• Multi-factor authentication: The insurance provider may require the organization to use multi-factor authentication to access sensitive systems and data to reduce the risk of unauthorized access.

• Regular updates and patches: The insurance provider may require the organization to regularly update and patch its software and systems to protect against known vulnerabilities.

• Monitoring and detection of cyber threats: The insurance provider may require the organization to implement monitoring and detection systems to identify and respond to potential cyber threats promptly.

How can MC3 technologies help?

We offer comprehensive cybersecurity insurance preparation services to protect your business from online threats. We have a team of experienced and certified cybersecurity professionals who will work with you to assess your current security measures and identify gaps. We will then develop a customized plan to help you implement the necessary cybersecurity measures to meet the requirements of your insurance provider. Our services include:

• Cybersecurity assessments: We will conduct regular security assessments, such as vulnerability scans and penetration tests, to ensure that your security measures are effective.

• Compliance with industry standards: We will help you comply with industry-specific security standards, such as CMMC/NIST 800-171 for federal contractors, HIPAA for healthcare organizations, or PCI DSS for organizations that handle credit card transactions.

• Incident response planning: We will assist you in developing an incident response plan to ensure that you are prepared to handle a cybersecurity incident and minimize its impact.

• Regular security training: We will provide regular security training for your employees to educate them on how to recognize and prevent cyber threats.

• Ongoing support: We will provide ongoing support and guidance to help you maintain your security measures and keep your organization protected.

Choose us for your cybersecurity insurance preparation and give yourself peace of mind knowing that your business is protected. Contact us today to learn more.

What is the NIST 800-171 Assessment?

The NIST 800-171 Basic Assessment is a self-assessment of an organization's implementation of NIST 800-171.

It is based on a review of the System Security Plan (SSP) associated with the covered contractor information system(s) and conducted per the NIST 800-171 DoD Assessment Methodology, “Assessing Security Requirements for Controlled Unclassified Information.”

The NIST 800-171 Basic Assessment score results in a “Low “confidence level because it is a self-generated score.

Who needs to conduct a NIST 800-171 Basic Assessment?

Everyone who is a part of the Defense Industrial Base (DIB). This includes all prime contractor holders and their subcontractors.

As stated in the DFARS Interim Rule, which is in effect as of November 30, 2020, all contractors must perform the NIST 800-171 Basic Self-Assessment to generate their Supplier Performance Risk System (SPRS) score. In addition to this score, contractors must have a Systems Security Plan (SSP) and Plan of Action and Milestones (POAM) documents to support their self-assessment.

How is a SPRS score calculated?

The NIST 800-171 DoD assessment methodology is based on the NIST 800-171A (Assessing Security Requirements for Controlled Unclassified Information) this provides a framework for assessing an organization’s compliance with NIST 800-171 requirements.

NIST 800-171 consists of 110 security requirements which must be individually evaluated and assessed to determine if you are implementing the control.

Your NIST 800-171 SPRS score can range anywhere from -203 to 110, with 110 meaning you have successfully implemented all security requirements. Organizations with mature IT and security practices implemented are more likely to score higher upon initial assessment. While smaller businesses with minimal or no IT security infrastructure and practices are likely to score on the lower end of the spectrum.

A low score, however, is not a bad thing. You must first fully understand where your organization stands today to be able to create a plan that allows you to work toward securing your business.

It is critical to assess your organization accurately. Many small businesses do not have the IT security resources available to adequately assess themselves.

Why is this important for my business?

Compliance with the NIST 800-171 requirements will help you to implement and maintain secure IT systems and business processes. Implementing solutions to meet these requirements ensures you are properly handling your businesses sensitive data.

In addition, this will ensure that you are able to properly store and handle Federal Contracting Information (FCI) and Controlled Unclassified Information (CUI). Allowing you to obtain and/or maintain Department of Defense (DoD) contracts or subcontracts.

How can I achieve compliance?

There are many resources available online, some of which we have linked here in this article. With assistance from your in-house IT security team, you can review the controls and evaluate them against the assessment methodology to determine if you are in compliance.

You can also work with a trusted advisor who understands the NIST 800-171 (and CMMC) requirements. An expert cybersecurity consultant can be an invaluable resource throughout the evaluation process and can assist you in developing an appropriate security and technology strategy for the future. Choosing the right partner will allow you to streamline your security compliance and IT security operations.

How Can MC3 Technologies Help?

We have over 20+ years of cybersecurity and compliance experience to help guide you through your NIST 800-171 and CMMC compliance journey.

We are a Cyber AB certified CMMC Registered Practitioner Organization (RPO), accredited to provide CMMC services to the defense industrial base.

We provide you with a full-range of services to help you to meet todays federal requirements and prepare for future CMMC Level 1 or 2 requirements. We know your goal is to continue doing business with the federal government and we will ensure this is done properly and efficiently..