Insurance agencies handle vast amounts of sensitive client data, making them prime targets for cybercriminals. Microsoft 365, the backbone of email, file storage, and daily operations for most agencies, has become one of the most frequently attacked platforms.
The numbers are alarming:
- 60% of all cyberattacks start with Microsoft 365 account breaches
- The average cost of a data breach has reached $4.88 million
- In early 2024, Microsoft 365 saw a tenfold increase in password-based attacks—from 3 billion to over 30 billion per month
Hackers know that insurance agencies store valuable data, and they exploit weak security measures to gain access. A single compromised account can lead to ransomware attacks, regulatory fines, and reputational damage.
To help prevent these risks, insurance agencies must take proactive steps to secure their Microsoft 365 accounts. Here are five essential security measures every agency should implement.
1. Enforce Multi-Factor Authentication (MFA) for All Users
Multi-Factor Authentication (MFA) is one of the most effective ways to prevent unauthorized access. Even if a hacker obtains a password, MFA requires an additional verification step before granting access.
- Require MFA for all agency staff, especially producers and executives.
- Use Microsoft Authenticator or another trusted authentication app.
- Block logins from unfamiliar locations unless MFA is completed.
Insurance agencies that implement MFA are significantly less likely to experience account takeovers.
2. Strengthen Password Policies to Prevent Unauthorized Access
Weak passwords remain a major security risk for insurance agencies. Many employees reuse passwords across multiple accounts, making it easy for hackers to breach systems.
- Require strong passwords with uppercase and lowercase letters, numbers, and special characters.
- Prevent password reuse across agency applications.
- Consider passwordless authentication (such as Windows Hello) for additional security.
With credential stuffing attacks on the rise, enforcing better password hygiene can reduce exposure to cyber threats.
3. Use Conditional Access to Block Unauthorized Logins
Hackers do not need to be in your office to breach a Microsoft 365 account. Conditional Access allows agencies to set security rules that restrict access based on location, device, or behavior.
- Allow logins only from trusted agency networks and approved devices.
- Require MFA for logins from outside the country or unknown locations.
- Restrict administrative access to minimize risk.
If an employee suddenly tries to log in from an unfamiliar location at an unusual time, Conditional Access can automatically block the attempt and prevent a potential breach.
4. Protect Against Phishing and Email-Based Cyberattacks
Phishing remains the most common method cybercriminals use to gain access to insurance agencies’ systems. A single fraudulent email can lead to stolen credentials, ransomware infections, or financial fraud.
- Deploy advanced email security solutions like Inky Phish Fence to detect and block phishing attempts.
- Train employees to recognize fraudulent emails, fake insurance carrier requests, and suspicious links.
- Enable Microsoft Defender for Office 365 to filter out malicious attachments and links.
Nearly 90 percent of all cyberattacks start with a phishing email, and insurance agencies are frequently targeted due to the sensitive nature of their data.
5. Back Up Your Microsoft 365 Data—Because Microsoft Won’t
Many insurance agencies assume Microsoft 365 automatically backs up their data. However, Microsoft’s default retention policies are limited, meaning that deleted emails, lost OneDrive files, or ransomware attacks could permanently wipe out critical agency records.
- Back up email, SharePoint, OneDrive, and Teams data to a secure location.
- Retain records beyond Microsoft’s standard 30-day deletion window to stay compliant.
- Ensure fast recovery in case of accidental deletions, cyberattacks, or data corruption.
Without proper backups, agencies risk losing policyholder data, client communications, and compliance records in minutes.
Protect Your Agency Before It’s Too Late
Insurance agencies cannot afford to take cybersecurity lightly. With Microsoft 365 being the primary target of cybercriminals, securing accounts is essential to protecting clients, reputation, and business operations.
At Archway Computer, we specialize in IT security for insurance agencies. Our team understands the unique risks agencies face and offers proactive security solutions to keep Microsoft 365 environments safe.
Want to ensure your agency is secure? Schedule a consultation with our team today to lock down your Microsoft 365 accounts before hackers get the chance.
