Do I Need Cyber Insurance? A Guide for NDIS Businesses

Do I Need Cyber Insurance? A Guide for NDIS Businesses

Cybercrime is on the rise. You’ve probably heard about many high-profile breaches on businesses across Australia. But as an NDIS provider, you might feel immune to a cyberattack, especially if your business is small or you’re an individual provider. Why would a hacker go after you when they can attack a big corporation instead?

Unfortunately, small businesses and those working in the healthcare industry may be the most at risk for hacks, data breaches, and other cyber incidents. And if one does happen to you, the cost could be enough to put you out of business.

Let’s take a closer look at cybercrime and how Cyber Liability insurance helps protect NDIS businesses.

Healthcare & small businesses are big targets for hackers

Cyberattacks on the Australian healthcare sector doubled between 2020 and 2021, and it’s still the most-attacked industry as of 2022¹. Cybercriminals target the healthcare industry for one big reason: Data.
NDIS and other healthcare providers typically store sensitive information about their patients: Names, dates of birth, credit card details, and other information can be used to steal someone’s identity.

Hackers may also simply hold data hostage with ransomware, refusing to give it back unless you pay a hefty fee. Either way, you may be unable to work or treat patients until the incident is resolved.

While attacks on large hospitals and government agencies make the news, small health-related businesses and individual NDIS providers are far from safe. In 2021, 65% of Australian small and medium businesses suffered a cyber incident², according to one survey.

Small businesses are a favourite target of hackers because they typically don’t have the same strong protections as big corporations.

How can NDIS businesses avoid cyberattacks?

Your cybersecurity budget may be smaller than the big guys, but that doesn’t mean you can’t protect yourself and your business against cyberattacks. There are simple measures that can help you avoid many cyber incidents, such as:

• Set secure passwords or passphrases
• Use multi-factor authentication (MFA) to log in and access your systems
• Regularly back up your devices (laptops, mobile phones, tablets, etc.)
• Updating your devices as soon as possible (and replacing devices that no longer receive updates)
• Learn how to identify common scams, such as phishing emails and false billing scams

What is Cyber Liability insurance? 

Even if you take every possible precaution, a cyber incident can still happen. Cybercriminals are constantly working to get past system defences, and human error may accidentally expose valuable data. That’s why many NDIS businesses make Cyber Liability insurance a part of their cybersecurity plan.

Cyber Liability insurance covers losses from claims arising from data breaches, business interruption and remediation costs following an actual or threatened data breach. If a cyberattack or data loss happens to your business, your Cyber Liability policy will help cover costs like:

• Investigating the scope of the breach
• Recovering lost data
• Legal fees (including fines and penalties you are ordered to pay)
• Crisis management (helping restore or lessen the impact on your business reputation)

The average cost of cybercrimes reported to the Australian Cyber Security Centre (ACSC) was $39,000 per incident for small businesses during the 2021-22 financial year³. That’s no small amount! Cyber Liability insurance helps shield your finances if a cyberattack hits your business, so you can continue helping patients with as little interruption as possible.

Cyber Liability for NDIS Businesses

MyCareSpace has partnered with BizCover to provide NDIS businesses with tailor-made insurance coverage at an affordable price, including Cyber Liability cover. It only takes a few minutes to compare multiple quotes online and find a Cyber Liability policy that fits your needs and budget. Even better—you’ll be covered instantly!

Visit the BizCover website or call 02 82 87 65 76 

Get a quote online instantly

1.  Security Brief Australia, 1 June 2022
2.  IT Brief, 21 October 2021 
3. ACSC Annual Cyber Threat Report, July 2021 to June 2022

This information is general only and does not take into account your objectives, financial situation or needs. It should not be relied upon as advice. As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording.© 2023 BizCover Pty Limited, all rights reserved. ABN 68 127 707 975; AFSL 501769