Phishing Payroll Breach is a type of cyber attack where hackers trick employees into divulging sensitive payroll information, such as bank account details or login credentials, allowing them to redirect salary payments to their own accounts.

How it happens:

1. Phishing email: Employees receive a seemingly legitimate email, often impersonating a manager or HR personnel, requesting payroll information or login credentials.
2. Redirecting payments: Hackers use the stolen information to change payroll settings, redirecting salary payments to their own accounts.

Cyber Liability Insurance:

This type of insurance helps protect businesses from financial losses resulting from cyber attacks, including phishing payroll breaches.

Coverage typically includes:

1. Financial losses: Reimbursement for stolen funds, notification costs, and other related expenses.
2. Crisis management: Access to experts for incident response, investigation, and remediation.
3. Legal support: Coverage for legal fees and regulatory expenses.

Why is it important?

1. Financial protection: Helps mitigate financial losses resulting from cyber attacks.
2. Reputation management: Supports businesses in responding to and containing cyber incidents, protecting their reputation.
3. Regulatory compliance: Helps meet regulatory requirements for data protection and breach notification.

Prevention is key:

1. Employee education: Train employees to identify and report phishing attempts.
2. Multi-factor authentication: Implement MFA for payroll and sensitive systems.
3. Regular updates and monitoring: Keep software and systems up-to-date, and monitor for suspicious activity.