Biondo Investment Advisors’ Director of Administration & Human Resources and Chief Information Security Officer, Patrice Singleton, was interviewed by Investment News: The Leading Information Source for Financial Advisers, for its January 16-20, 2017 issue targeting cybersecurity.
The magazine’s cover story, “Do I Need Cyber Insurance?” by reporter Liz Skinner, stressed the importance of this critical safety net. “The bad players are incredibly sophisticated, and every day you read another horror story,” said Singleton.
A Proactive Approach
From third-party security breaches to the growing number of cases of ransomware (in which a firm’s
computer system is held hostage until a sum of money is paid), cyber risk is on the rise. Insurance policies can cover costs that may result, but being proactive is key.
A cyber insurance policy enhances other valuable strategies, which Biondo Investment Advisors has established, like data encryption, strong password protection programs, and employee training.
Biondo’s diligence on the cybersecurity front is on the leading edge. Cyber insurance policies are underutilized industry-wide, according to Investment News Editor, Fred Gabriel, who notes in the January 16-20, 2017 issue that only about a third of advisors have such coverage, according to the Investment Advisor Association.
“In an age where nearly every facet of our lives is at risk of a cyber invasion, it’s important for advisers to protect themselves and their firms from criminal practices online,” says Gabriel.
Biondo Investment Advisors bought its first policy in 2014 through the broker Starkweather & Shepley
Insurance Corporation. Starkweather’s President Andrew Fotopulos says policies can include “employee training
and risk management tools such as sample cybersecurity policies and procedures firms can put into place.”
Biondo Investment Advisors frequently shares cybersecurity information. “It’s important to our clients,” says Singleton. Visit our website for more details.