1. Insurance Terms & Definitions/
  2. Insurance Terms Starting With S

Security Breach

What is a Security Breach?

A breach, particularly with regards to network security, is an unauthorized or illegal attempt to access, steal, damage, or destroy computer systems, networks, devices, or data. The bad actors achieve this through various methods, including hacking, phishing, malware, social engineering, and physical theft.

Once the breach happens, they may steal or manipulate sensitive information, cause system downtime or damage, demand a ransom, or use the compromised system or network to launch further attacks. The consequences of a breach can be severe, including financial losses, reputational damage, legal liabilities, and regulatory penalties, so companies should invest in robust cyber security measures and a Cyber insurance program.