How Multifactor Authentication Protects Against Cyber Risk

Advantages of MFA

Multifactor authentication sometimes referred to as two-factor or MFA, is a cybersecurity measure requiring users to confirm multiple factors verifying their identity before accessing a network or system.

Generally, users must provide a password, verify access by inputting a code sent to another device or confirm access with biometric data such as a fingerprint. Unfortunately, those hesitant to adopt two-factor authentication are often under the misconception that it requires the purchase of additional external hardware or are concerned about potential user disruption. While it’s true that multifactor authentication can require users to take an extra step or two at login, it’s not complicated and doesn’t always require buying new hardware.

 

What is Multi-Factor Authentication (MFA)?

MFA is a vital layer of protection against first-party losses and business interruption resulting from a cyberattack. Unfortunately, while the last year’s economic turmoil impacted companies of all sizes, the hit taken by many mid-sized companies and small businesses can make it tempting to skip improving cybersecurity or buying cyber liability insurance.

 

How Multifactor Authentication Protects

Agents see ransomware or social engineering claims hit almost weekly. Over the last 18-24 months, ransomware attacks have skyrocketed in both frequency and severity, driving significant changes in the cyber insurance marketplace. Such suits can cost hundreds of thousands of dollars and require pricey forensic investigations that take several weeks to complete. In addition, such attacks often start with compromised passwords or login IDs. For a deeper dive into Multifactor Authentication, check out our E-Book.

 

Why MFA Matters eBook

Click to Download:2021-10-05.eBook Multi-Factor Authentication.V2

 

 

Cyber Security Hacker Scenarios 

Jamie Parry of Mason-McBride talks about cyber liability insurance and cyber security hacker scenarios. Jamie discusses what hackers can do to businesses from a cyber security perspective and the importance of having a cyber liability policy for your business.

 

What Are the Benefits of Cyber Liability Insurance?

Organizations can manage security and privacy risks through practices, policies, and procedures, but businesses must also purchase insurance to protect themselves. Cyber liability insurance enables cyber experts, including forensic experts, attorneys, breach response specialists, and credit monitoring companies, to respond quickly to social engineering attacks.

Cyber insurance is also a cost-effective way to protect corporate balance sheets from losses not typically covered by traditional insurance policies. Cyber insurance also extends to third-party claims alleging unauthorized disclosure of personal information or other confidential information in addition to first-party costs such as forensic investigation and notification.

 

Want to Learn More?

Please get in touch with us if you have any questions about Commercial Insurance or review coverage options.

For helpful tips on other popular topics, check out our articles on Cybercrime Targeting Small Businesses, Professional Liability Insurance, and Social Engineering.

As always, we are here to help you, your employees, and your business with all your insurance needs – from commercial insurance to group benefits to personal insurance.

Thank you for allowing Mason-McBride to serve you!

 

Article By Jamie Parry

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