People Have a False Sense of Cybersecurity: Study

People might think they're safe as long as they have a password (that they probably can't remember themselves), but the report points out that only 40% reported using cybersecurity software and just 30% regularly change online passwords and use multifactor authentication to log into their accounts. Besides, that memory problem people have with passwords means that 67% said they "always" or "often" use the same password for multiple sites.

All the details people post on Facebook do everything but issue an invitation to thieves who see valuables in the background of the shot showing their departure to a weeks-long vacation. And that doesn't even begin to address the problems caused by ransomware and malware.

The same, of course, is true at work. People need to be educated and have it impressed on them how serious cybersecurity is, and, says the report, employers should lead by example. Both bosses and employees, however, think they're doing better at it than they actually are; not only do Chubb's claims data show a 930% increase in the number of business-related cyber insurance claims over the past 10 years, but bosses (75%) and employees (93%) say they have good security measures or understand the company's security practices. But only 33% of employees say the boss holds annual companywide trainings or refresher courses.

And since humans are proving so fallible at protecting their data, says the insurer, a backup plan is necessary. Says the report, "The best backup plan is cyber insurance — with the best policies providing a mix of defensive protective measures along with fast response capabilities in a worst-case scenario."

— Related on ThinkAdvisor:

• How to Protect Your Clients and Yourself From Cybertheft
• Here's How to Achieve Work-Life Security
• A Hidden Risk That Could Crack a Nest Egg