How to Protect Your Business from Social Engineering and Insider Threats
Think your business is too small or too secure to be targeted by hackers? You might want to think again. Social engineering and insider threats are sneaky risks that are rising faster than you can say “phishing scam,” and they’re not picky—they can hit any business, big or small. The worst part? Your employees are the top targets. But before you break into a sweat, here’s the good news: there are things you can do to shield your business from these threats.
Peter Katkov, Founder and CEO of Apex Risk, joins Scott Cooper, President of Tower 23 IT, to discuss social engineering, insider threats and how organizations can be aware and prevent risks. Check out the video below to learn more:
In this blog, we’ll explain these threats and offer tips on how to protect your business through training, security measures, and insurance.
What Exactly Are Social Engineering and Insider Threats?
Let’s break it down. Social engineering is basically the art of tricking people into doing things they shouldn’t. Whether it’s sending fake emails that look like they’re from your CEO or pretending to be someone they trust, the goal is the same: get confidential info, steal money, or break into your systems.
Now, insider threats? They’re a little trickier. These come from within your own company—employees, contractors, or anyone who has access to sensitive stuff. Maybe they’re being malicious (hello, disgruntled worker), or maybe they just made a mistake (like clicking on the wrong link, oops). These threats are dangerous because insiders often have access to sensitive data and systems.
Why Are Social Engineering and Insider Threats on the Rise?
These threats are becoming more common due to advances in technology, especially artificial intelligence (AI). Cybercriminals now use AI to create convincing fake emails, phone calls, and even text messages that look real but are designed to steal information.
It’s not just the hackers you need to worry about, but also the rise of remote work. Employees are logging in from coffee shops, living rooms, and who knows where else, and not everyone is following strict security rules. A little lax on the security front? That’s all it takes for someone to slide in and exploit the gap.
How Can Training Help Your Employees Stop Falling for It?
Here’s the good news: With the right training, they can spot these threats from a mile away.
Here’s what they should know:
Don’t Fall for Fake Emails (or Phone Calls, or Texts)
Teach your employees how to spot phishing emails, phone calls, and texts. They should look for red flags like strange email addresses, typos, or unusual requests for personal info. It’s also important to be aware of common tricks, like a sense of urgency (e.g., “Act now!” “Buy Giftcards!”) or requests for sensitive details, like passwords or financial info. The key is to slow down and think—if it feels off, it probably is.
Always Verify Requests
If your employees get a message from someone asking for sensitive info, they should double-check it. Call the person or send them an email—not just by hitting “reply.” A little verification goes a long way.
Stop Clicking on Random Links
We get it, your employees are busy, but if the link looks fishy, don’t click it. If it’s too good to be true (e.g., “You’ve won a million dollars!”), it’s definitely a scam.
Report Suspicious Activity
Encourage your team to report anything odd. It could be the difference between a tiny issue and a full-blown breach. Make reporting as easy as possible—just like sending an email or making a phone call.
Stay Updated
Security threats evolve fast, so don’t just train your team once and call it a day. Regular, up-to-date training will ensure they know about the latest tactics hackers are using.
Additional Steps Businesses Can Take to Protect Against These Attacks
Beyond training, there are several proactive measures businesses can implement to further protect themselves from social engineering and insider threats:
- Email Protection and Filtering: Implement advanced email filtering tools to detect suspicious emails before they reach employees’ inboxes. These tools can flag phishing attempts, malware attachments, and other risky content.
- Multi-Factor Authentication (MFA): Require MFA on all accounts, especially for accessing sensitive systems. Even if an attacker manages to steal login credentials, they will need additional factors to access your systems.
- Access Controls: Limit employee access to sensitive data based on the principle of least privilege. Employees should only have access to the information necessary for their job functions, which helps minimize the damage an insider threat can cause.
- Regular Audits and Monitoring: Set up continuous monitoring of your network for unusual activity. Regular audits of employee access and activity logs can help spot insider threats early, preventing potential damage.
- Simulated Phishing Campaigns: Run simulated phishing campaigns to test your employees’ response to phishing attempts. These tests help reinforce training and allow you to identify weak points in your organization’s defenses.
How Cyber Insurance Helps in the Event of a Cyber Attack
Even with top-notch security measures and a well-trained team, there’s always a chance that a sneaky social engineering attack might slip through the cracks. In the event of such an attack, cyber insurance serves as your safety net to cushion the blow and help you recover.
Here’s how it works:
Social Engineering Fraud Coverage
If your business falls victim to a fraudulent wire transfer or other financial manipulations, social engineering fraud coverage steps in to clean up the mess. It helps recover stolen funds, covers investigation costs, and supports any recovery actions needed to restore operations. This coverage is there when those deceptive tactics hit, ensuring that your business doesn’t foot the entire bill.
Forensic Support
After an attack, knowing exactly how it happened is crucial. Your cyber insurance policy can cover the cost of hiring forensic experts who will investigate the breach, track its origins, and pinpoint any security gaps. This deep dive not only helps you understand how the attack unfolded but also provides valuable insight on how to prevent it from happening again.
Income Loss Protection
Cyber events don’t just mess with your data—they can disrupt your entire business, causing costly downtime. Cyber insurance can replace lost income, giving your business the breathing room it needs to keep running while you recover from the financial damage. Because downtime isn’t just inconvenient; it’s expensive.
Reputational Recovery
A cyber attack can leave a lasting stain on your reputation. Cyber insurance steps in to help manage the PR fallout, working to restore customer trust and protect your brand’s integrity. You don’t want to be remembered as the company that got hacked—you want to be the one that rose from the ashes stronger than ever.
In short, while no system can guarantee 100% protection, cyber insurance provides essential financial support to help your business recover from social engineering attacks and minimize the long-term impact.
Final Notes
No business is immune to social engineering or insider threats, but with the right approach, you can drastically reduce your risk. By implementing comprehensive training, strong security protocols, and cyber insurance, you ensure that your business is well-prepared to face these evolving challenges.
Even the best-prepared businesses can fall victim to cyberattacks, which is why having a safety net like cyber insurance is essential. It helps cover the financial fallout, supports recovery, and protects your reputation in the aftermath of an attack. By combining vigilance, training, and insurance, you’re giving your business the best chance at staying secure.
Have More Questions About Cyber Insurance?
Apex Risk & Insurance Services was specifically founded to fill the service and consultative gap left by agency consolidations in the insurance marketplace. These consolidations have left customers who are used to a boutique service approach with no personal connection to their team.
Apex brings the high-touch service proposition back to the San Diego business community, and beyondRead on to learn more about how to protect your business from ransomware.
