---
title: Data Breach and Cyber Liability -- a Yahoo! Warning
description: This week, Yahoo! had a big problem -- 450,000 user names and passwords were hacked.  Learn how to protect your clients from data breach.
---

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# Data Breach and Cyber Liability -- a Yahoo! Warning

- ![](https://info.stuckey.com/hubfs/Stuckey_2019/Images/Blog/author-icon.png)[Elizabeth Sedlock](https://info.stuckey.com/blog/author/elizabeth-sedlock)
- ![](https://info.stuckey.com/hubfs/Stuckey_2019/Images/Blog/calender-icon.png)July 13, 2012
- ![](https://info.stuckey.com/hubfs/Stuckey_2019/Images/Blog/clock-icon.png)7:23:00 PMPM

Well, data breach is back in the news. No surprise there. We are completely dependent on technology for the majority of our business transactions. That opens up a world of liability issues that small and mid-sized businesses need to be prepared to deal with.

Yesterday, it was announced that information from 450,000 Yahoo! Voices accounts had been breached. The passwords from those accounts were compromised. Wow. While Yahoo! almost assuredly has cyber-liability insurance, this incident is still going to affect the company dramatically. Not only will Yahoo! be required to notify each and every one of the 450,000 customers affected by the breach, which it is estimated costs $235 (on average) per customer, the company will also need to rebuild the trust that was also compromised because of the incident.

“The beleaguered Internet company Yahoo! has another crisis on its hands: 450,000 user email addresses and passwords stolen from its user-generated content service, Yahoo! Voices.” – MSNBC. Read the entire article about the data breach [here](wlmailhtml:{5D777074-C78C-4C9A-815A-B3608A976EC0}mid://00000008/!x-usc:http://www.msnbc.msn.com/id/48161953).

Still, even if Yahoo! does not carry cyber-liability insurance, which is incredibly unlikely, the company will stay in business after this is all resolved. Would your client survive an similar breach without cyber-liability insurance? Most likely, no. Now is the time to educate your clients on why cyber-liability insurance is a must in today’s business world. To learn more about helping protect your clients from data breach, contact Kyle Dallavis at [kyle@stuckey.com](wlmailhtml:{5D777074-C78C-4C9A-815A-B3608A976EC0}mid://00000008/!x-usc:mailto:kyle@stuckey.com).

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