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Valander Insider Blog

Due Diligence

Updated: Mar 28, 2023

As cyber threats continue to increase in frequency and sophistication, it's more important than ever for organizations to take proactive measures to protect their networks and data. This is especially true for school districts, which are entrusted with sensitive student and staff information. Unfortunately, some school districts fail to do their due diligence in securing their networks, which can lead to devastating consequences, including voiding their cyber security insurance.


Recently, a school district failed to take the necessary steps to secure its networks, despite being aware of a potential vulnerability. This resulted in a data breach that exposed sensitive student and staff information. The district had cyber security insurance to cover the costs of the breach, but their insurance provider denied their claim due to the district's failure to adequately secure their networks.

The repercussions of this denial are significant. The school district is now faced with paying for the costs of the breach out of pocket, which can be a massive financial burden. Additionally, the breach has eroded the trust of students, staff, and parents, and has damaged the reputation of the district.


The lesson to be learned from this situation is clear: due diligence is essential when it comes to cyber security. School districts need to take proactive measures to secure their networks and comply with relevant regulations. This includes conducting regular vulnerability assessments, implementing strong password policies, and training staff on best practices for cyber security.


It's also important for school districts to work with reputable cybersecurity companies that can help them stay ahead of evolving cyber threats. These companies can provide ongoing support and guidance, ensuring that school districts are taking all necessary steps to protect their networks and data.


Finally, school districts must understand that cybersecurity insurance is not a substitute for due diligence. Insurance providers are increasingly looking for evidence that organizations have taken the necessary steps to secure their networks before approving claims. Without proper due diligence, insurance claims can be denied, leaving organizations to pay for the costs of a data breach out of pocket.


In conclusion, due diligence is crucial when it comes to cyber security. School districts must take proactive measures to protect their networks and data, and work with reputable cybersecurity companies, like the Valander group and Compliancepro, to stay ahead of evolving threats. By doing so, they can avoid the devastating consequences of a data breach, including the denial of cyber security insurance claims. Contact The Valander Group today to ensure you are doing your due diligence.


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