Restaurants & Bars: Serving Up the Latest Cyber Risk Target
Over the past quarter-century, restaurants and bars have adopted technology that has turned them into streamlined, completely digital operations that probably couldn’t put out a single meal if the server went down.
Nearly every restaurant and bar in the U.S. depends on technology to some extent. Menus may be accessed on a guest’s phone or tablet. The server uses a small tablet to complete orders and submit them instantly to the kitchen. Check, please? Many servers act as their own banks and can charge a credit card, or make a cash sale right at the table.
There’s so much electronic technology in American restaurants and bars, and every one of them faces the danger of employees and other unwanted individuals messing around in the company’s digital data.
A recent article in Insurance Journal reported this devastating story:
In 2018, several large restaurants experienced data compromises, including Dunkin’ Donuts, Panera Bread and Cheddar’s Scratch Kitchen. In addition, third-party vendors in the food and beverage sector were subject to nearly 10 percent of all data compromises in 2017, meaning restaurant supply chains are vulnerable as well.
Data breaches are not only harmful to a restaurant’s operation and reputation but are also increasingly financially damaging. The U.S. Securities and Exchange Commission recently reported the average cost of a cyber data breach at $7.5 million! Of course, that figure will grow as businesses rely more and more on data.
With insureds and even most insurance agents mistakenly being under the impression that “add on” cyber coverage under general liability policies are enough, oftentimes leaves the company vulnerable to unknown risks that can have a significant financial impact.
Concerned about the costs to your business should you endure a cyber-attack without being properly covered? A 10-minute conversation will show you how Van Beurden Insurance can help!