The holiday festivities are upon us! While the holiday season brings joy and excitement with all its anticipation of gifts, gatherings, and travel, it can also mean extra risk. Online shopping during a season of higher cyber threats, plus the extra travel, can put consumers at risk. It’s not even just the trip, but the health impacts of travel and being away from one’s home and belongings. Here’s what consumers and business owners should consider as we approach the hustle and bustle of the holidays.
Holiday Shopping, Cybersecurity, and Insurance
With the increase in online shopping during the holiday season, cybersecurity plays a vital role in ensuring consumers have safe and secure online shopping experiences. Cybersecurity measures combined with cyber insurance can be very helpful for preventing data breaches for individuals and businesses.
Cyber Security Measures
Here’s a checklist of cyber security measures to help consumers and businesses prepare for the increase in online transactions:
- Secure Transactions: Encryption and secure payment gateways are two measures that can safeguard transactions while shopping online. They protect sensitive information like credit card details, reducing the risk of theft or fraudulent activities. Businesses should ensure they’re in place, and consumers should look for security seals/certificates on the online store platforms.
- Protection Against Phishing Attacks: Anti-phishing cybersecurity tools help detect and prevent phishing attacks that try to steal personal information or login credentials. This type of protection can keep consumers from falling victim to fake websites or emails impersonating legitimate retailers.
- Safe Browsing: Firewalls and anti-malware software can safeguard users’ devices from malicious websites and downloads, preventing malware infections that could compromise personal information. Consumers and businesses should ensure this software is in place and active.
- Enhanced Authentication: Multi-factor authentication is another measure that adds an extra layer of security to online shopping accounts. It can help make it more challenging for unauthorized users to gain access.
Cyber Security Insurance
It’s critical to have cyber security insurance before the holiday shopping season begins. While following best practices in cybersecurity measures is highly recommended, cyber insurance can protect consumers and businesses financially against the perils of cyber threats.
- For consumers, cyber insurance may cover financial losses due to online fraud or identity theft during holiday shopping.
- For businesses, it may cover costs related to data breaches, ransomware attacks, or other cyber incidents that compromise customers’ information.
For both individuals and businesses, cyber insurance may be able to offer recovery assistance. This may include support for recovering lost data, restoring systems, and managing the aftermath of a breach. Learn more about cyber security insurance in this article.
Combining robust cybersecurity measures with cyber insurance coverage can help create a safer online shopping environment for consumers while providing businesses with a safety net against cyber threats during the busy holiday season.
Holiday Travel and How It Affects Insurance
Holiday travel can impact insurance in several ways due to increased risks and changes in travel patterns. Here are some considerations for those planning to travel during this festive season.
Travel Insurance
This type of insurance becomes more relevant during the holidays, as people often travel long distances to visit family or friends. They may also plan a Christmas vacation or holiday destination trip, like “Christmas in Rome” or “Christmas in Paris.”
Many travelers purchase travel insurance specifically for the holidays because of those more extensive and expensive trips. Traveling abroad or during the busy season may require increased insurance coverage. For example, individuals might need to increase coverage limits for trip cancellation to align with the higher costs associated with holiday travel.
Travel insurance typically covers cancellations due to inclement weather, flight cancellations, interruptions, medical emergencies, lost luggage, and other unforeseen events that might disrupt travel plans. After all, it’s well known that unexpected disruptions are frequent during the holiday season.
Travel insurance can cover such instances, compensating for non-refundable expenses and assisting in unforeseen circumstances.
Auto Insurance
Increased road travel during the holidays can also lead to higher risks due to traffic congestion and the potential for accidents. Drivers must ensure their auto insurance is up-to-date and provides adequate coverage for potential accidents, especially during peak travel times.
Those renting vehicles during the holidays should check to see whether their traditional auto insurance covers rental cars. If not, they should look into adding rental car insurance. While personal auto insurance may offer coverage for rental cars, renters may need additional coverage to protect against liability or damage to the rental vehicle.
Home Insurance
Holiday travel often means leaving homes unattended and some home insurance policies have clauses regarding vacant properties. There may be coverage limitations if a home is unoccupied for an extended period, for example.
Ensuring adequate coverage for potential risks like theft or damage during absence is crucial before making travel plans.
Health Insurance
Traveling internationally during the holidays may require reviewing health insurance coverage. Travelers should check their existing health insurance to see whether it covers international travel. Most domestic health insurance plans offer limited or no coverage abroad.
In that case, travelers should consider purchasing travel medical insurance or a specific international health insurance policy. These plans typically cover medical emergencies and hospitalization while traveling outside one’s home country.
Understanding coverage limitations, international medical services, and potential additional health insurance for international trips is crucial in preparing for medical emergencies over the border or overseas.
Final Thoughts on Insurance and The Holidays
With crowded airports, busy roads, and diverse weather conditions, holiday travel presents increased risks. The same goes for the increase in online shopping during a season of increased fraud and cyber threats. It’s crucial to consider the potential risks associated with holiday activities. Reviewing and, if necessary, adjusting insurance policy coverage can offer policyholders peace of mind and protection during their holiday preparations and journeys.