What Are 3 Examples Of Cybercrime?

The ubiquity of internet connectivity has allowed progress and revolutionised the way humanity communicates.

But unfortunately, its anonymity and convenience have also paved the way to the emergence of cybercrime. 

Cybercrime refers to the illegal activities committed using modern telecommunication networks such as computers and mobile phones. Cybercrimes are usually committed in a bid to generate profits for cybercriminals. 

However, in some instances, cybercriminals can have political or geopolitical motives, such as intervening in a country’s election or taking control of a country’s critical infrastructure to destabilise its government.

Now, according to the Australian Cyber Security Centre, cyberattacks cost the Australian economy close to $42 billion in 2021! 

What’s more, cyberattacks have consistently increased over the last few years with a rise of 13% of cyber incidents last year alone.

So, to help you understand cyber risks and implement an effective cyber security strategy, we’ve listed below three examples of the most common cybercrimes.

Phishing

Have you ever received an alarming email from your bank asking you to complete a form with your personal information and return it quickly to avoid any financial trouble?

If the answer is yes, you were a victim of phishing. This email wasn’t coming from your bank, even though it looked legitimate featuring the bank’s logo and contact details. Instead, it was created and sent by cybercriminals. 

Phishing refers to the practice of sending fraudulent messages to trick the recipient into divulging personal and financial information by pretending to be a legitimate source.

it’s the most common cybercrime in Australia with 92% of Australian organisations experiencing at least one phishing attack in the past!

Ransomware

According to the ACSC, ransomware attacks are one of the most significant cyber threats to Australian businesses, just after phishing attacks. Ransomware refers to a form of malicious software which is designed to restrict access to your computer, laptop or mobile phone. The malicious software can also encrypt your data until you pay the ransom.

One common example of a ransomware attack is carried out using a Trojan (or malware). In this scenario, the user receives an email disguised as a legitimate file and clicks on the attachment or downloads it. The malware contained in the attachment will then encrypt the data and prevent the user from accessing it until the ransom has been paid.

Unfortunately, this type of cyberattack can cripple a small business. In fact, approximately 60% of them go bankrupt within six months as they can never recover financially.

Distributed Denial-Of-Service

A distributed denial-of-service (or DDoS) attack is a method used by cybercriminals that consists in flooding an organisation’s network with so much malicious traffic that it is unable to operate normally.

But how does it work exactly?

The high volume of traffic triggers a system that automatically denies access to the website or network to legitimate users.

For instance, in February 2020, Amazon Web Services (AWS) was hit by a DDoS attack and saw incoming traffic at a rate of 2.3 terabits per seconds causing three days of elevated threat alert for the AWS team.

Should You Buy Cyber Liability Insurance As A Small Business Owner?

Did you know that the average cost of a data breach for Australian businesses sits at a staggering $3.35 million? 

And while you might think that hackers tend to target larger organisations, the reality is that 43% of organisations hit by a cyber Ed crime in Australia are small businesses.

Because we know how much damage cyberattacks can cause to small businesses, we’ve decided to incorporate Cyber & Privacy Liability insurance into our range.