Business Services Industry

Hacking incident moves Web security to front page. (New York Times publication shuts down its Internet site because of breach of computer security)

Business Insurance, September, 1998 by Roberts, Sally

NEW YORK - Businesses may learn several lessons from a recent breach of computer security that caused the New York Times to shut down its World Wide Web site for nine hours. While no data was stolen and any business interruption loss was minimal, the break-in by computer hackers is a reminder that these incidents can occur, even with advanced security systems in place.

The incident also shows the need for constant review of computer security and perhaps buying insurance to transfer the liability risk that can arise from computer hacking. "The fact that this happened to (the New York Times) will raise eyebrows that if it can happen to them, it can happen to anyone," said Frank Johns, managing director for Pinkerton Global Intelligence Services in Arlington, Va. It...

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