The cost of a data breach could cripple a business in ways that extend far beyond the immediate financial loss. Imagine waking up to discover that sensitive customer data has been compromised, tarnishing your reputation, violating compliance regulations, and leaving you scrambling to recover. It’s not a question of “if” your business will face a cyberattack—it’s “when.” Cybercriminals are becoming more sophisticated, and the consequences of not having a solid defense in place can be catastrophic. So, how can you safeguard your business and its clients from a data breach in this high-stakes digital world?

Here are three essential steps to protect your business from a data breach.

Invest in Comprehensive Cybersecurity Measures

In today’s rapidly evolving cyber landscape, traditional security tools are no longer enough. Basic firewalls and antivirus software won’t protect your business from the sophisticated tactics cybercriminals use today. Instead, businesses need to adopt a multi-layered approach to cybersecurity.

Example: A small retail business in Ohio thought their basic antivirus was sufficient. But in early 2025, a phishing email bypassed their defenses, and they were hit with ransomware, crippling their entire point-of-sale system. If they had invested in more advanced solutions like endpoint detection and response (EDR) and regular employee training to spot phishing attempts, they could have avoided this costly breach.

This year, businesses should focus on:

• Implementing AI-driven threat detection to identify and block suspicious activity in real-time.
• Encrypting all sensitive data, both at rest and in transit, to protect it even if hackers gain access.
• Regular security audits to ensure that systems are up-to-date and vulnerabilities are patched.

Establish a Data Breach Response Plan

No business, no matter how well protected, is entirely immune to cyberattacks. This is why having a robust data breach response plan is essential. When a breach occurs, every second counts. How quickly and effectively you respond can determine how much damage is done—and how much you can save your business in the long run.

Example: In 2024, a regional healthcare provider suffered a breach but had a well-rehearsed response plan in place. They quickly notified affected customers, mitigated the damage, and avoided major fines because they were compliant with privacy laws. Their transparency and swift action helped restore trust with their patients.

Your data breach response plan should include:

• A clear chain of command: Who takes the lead when a breach is detected?
• Immediate steps to contain the breach: Isolate affected systems and change passwords.
• A communication strategy: Ensure that customers and employees are informed as soon as possible, minimizing confusion and panic.
• Legal and regulatory compliance: Understanding your industry’s specific data breach notification requirements will keep you ahead of fines or penalties.

Purchase Cyber Liability Insurance

Even with the best security measures in place, no business can be completely secure. That’s where cyber liability insurance comes in. This type of coverage can protect your business from the financial fallout of a data breach, covering everything from legal fees to customer notification costs and public relations expenses.

Example: A manufacturing firm experienced a significant breach that exposed customer data. Because they had cyber liability insurance, the policy covered the legal fees, credit monitoring for affected clients, and even a PR campaign to restore trust with their customers. Without this coverage, the business would have been financially devastated.

Cyber liability insurance can help cover:

• Legal expenses from lawsuits that arise as a result of a breach.
• Costs associated with notifying customers and offering credit monitoring services.
• Public relations efforts to help rebuild your business’s reputation after an attack.

Protect Your Business Now—Before It’s Too Late

The threat of a data breach is real and growing. Protecting your business in 2025 requires a proactive approach that includes cutting-edge cybersecurity measures, a well-prepared response plan, and the financial protection of cyber liability insurance. Don’t wait until it’s too late to defend your business and your clients’ sensitive information.

At Hertvik Insurance Group, we specialize in helping businesses like yours protect against the risks of a data breach. Contact your Hertvik Insurance agent today to learn how a comprehensive insurance strategy can safeguard your company and its future. Take the first step toward peace of mind—reach out to us now and secure your business for the digital age.