The restaurant industry has evolved dramatically in recent years, especially in the wake of the COVID-19 pandemic. Technology use is accelerating, creating new exposures. Restaurants have adopted various digital technologies – including mobile ordering, online loyalty programs, vendor integration, and sophisticated payment systems.
While these innovations have helped businesses respond to customer demand and competition, the use of technology has increased exposure to cyberattacks.
Exposures Unique to Restaurants
Restaurants, whether small family-owned establishments or larger chains, are increasingly reliant on technology. As a result, restaurants have become prime targets for cybercriminals and technology reliance has been identified as a primary risk to owners’ restaurants.
Restaurants can be devastated by a data breach, a complete shutdown of operations, or the outright theft of funds, which can all result in potential negative publicity. Comprehensive Cyber insurance, which includes risk mitigation services, is a critical protection for restaurants.
How Cyber Attacks Occur
Cyberattacks on restaurants can take various forms, from data breaches to ransomware attacks and fraudulent funds transfers. For example, a ransomware attack can shut down most organizations, including a restaurant. A ransomware attack typically locks up key operating systems and data, making it difficult or impossible for an organization to effectively operate.
It appears that a recent ransomware attack on a large restaurant chain successfully shut down key systems for a period of days, resulting in revenue losses and business interruption expenses. Attacks of this type are a growing challenge for restaurants that increasingly rely on technology and digital integrations.
Get Insurance by Working with an Expert
Cyber insurance policies and associated risk mitigation services vary greatly. Considering the significant risks associated with cyberattacks, obtaining comprehensive cyber insurance is paramount for restaurant owners. However, navigating the complexities of insurance policies can be daunting. This is where working with a Cyber insurance expert comes in.
How Can eSpecialty Help?
eSpecialty Insurance is an expert in Cyber insurance. Let us know how we can help you obtain competitive quotes and assess coverage offerings and risk mitigation services to protect your restaurant business.
About eSpecialty Insurance and Bob Sargent, Founder and CEO
eSpecialty Insurance was established to revolutionize the customer journey in specialty insurance. Bob is a founder and an early-stage investor with decades of experience as an underwriter and broker addressing unusual, complex, and challenging cyber exposures. He helps SMBs secure the most comprehensive cybersecurity solutions at competitive rates.
Email [email protected] or call (435) 252-1077 to learn more.