Whilst Esurance offers comprehensive protection for your company on the internet, there are a number of simple, practical steps you can take to limit your exposure to risks.
Web Site content
The content of your website can expose you to a whole range of expanded legal liabilities These range from regulatory and jurisdictional issues, to intellectual property rights, defamation and passing off. These are just some of the liabilities you may face by going online.The internet allows an unprecedented amount of data to be passed between both individuals and organisations. The Data Protection Act 1998 monitors regulates the collection and usage of personal data, including across national borders. For example, did you know that the USA does not qualify as a country with "adequate" data protection laws? If you think you may be gathering data, make sure you register with data protection commissioner. Have a look at www.dataprotection.gov.uk for more information. Here you'll find a useful overview of what you should know.
Defamation is a growing cause for concern for users of the internet, particularly anyone who may host a bulletin board, or allow third parties to change information on their site. If this is the case, try to check or monitor your site regularly for such material..
Intellectual property rights can be infringed much more easily online. This is especially relevant for domain name registration, as trade mark rights have often been broken by individuals hoping to cash in on a name.
E-mail
This is a fantastic communications tool, but also a potential legal minefield for employers that can leave you counting the cost in court because employees don't always consider the seriousness of e-mail as much as they would a business letter.
A good way of limiting the risks is to set out a policy for employees' use of email and the internet. When set out in an instructive way, it helps establish the parameters for use. It can also highlight your policy on e-mail attachments, which is the most common way for a virus to enter a system.
A survey undertaken by Eclipse Information revealed the following facts:
- 83% of companies had an external email system.
- 77% were concerned about inadvertent breaches of confidence by email.
- 67% were concerned about email abuse, harassment and consequential threat of legal action.
- Yet only 27% included a disclaimer or warning on company emails.
Security and Fraud
Considering the revenue e-commerce can generate, it's hardly surprising companies on the internet have become the targets of cyber criminals. Both companies and consumers have concerns regarding the safety of online transactions and the use of credit card information.
In a recent survey by the Computer Security Institute/ FBI, the following statistics prove startling reading:
- Insider abuse of network access, measured in this survey, increased by 20%
- Annual increases of over 35% per year were recorded in data or network sabotage incidents between 1997 and 1999.
- Organisations reported annual increases of 25% in online financial fraud in the same period.
There are a number of ways you can make your website more secure. These range from firewalls to sophisticated encryption techniques to maintain security.
Business Interruption
It could spell disaster if you rely on your website for commerce purposes and it becomes inaccessible. It can affect your sales, brand and image. And it can happen to anyone.
However, there are steps you can take to help protect yourself against this.
A commercial firewall is a very effective piece of software that filters incoming information to reduce the possibility of third party hacking.
Virus detection software is another simple way to guard against computer problems that could prevent you from conducting business. It's worth noting that it's as important to regularly update any anti-virus software you have as it is to install it in the first place. Every week new viruses are detected.
Also your servers should be in a physically secure environment, and if someone else is hosting your site get them to agree on a security policy that is acceptable to you.
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