If a Fortune 500 Insurer Can Be Breached, What Chance Does Your Business Have?
On June 12, 2025, Aflac—a major U.S. insurance company with over 50 million customers—announced it had experienced a cybersecurity breach.
The company acted swiftly. The breach was detected early, no ransomware was deployed, and systems remained operational. But sensitive customer data—like Social Security numbers and health information—was exposed. Aflac responded by notifying regulators, engaging third-party cybersecurity experts, and offering 24 months of free credit and identity monitoring to affected customers.
That’s how a well-resourced, well-prepared company handles a breach.
But what if it was your business?
Why Small Businesses Should Pay Attention
If a corporation like Aflac—with multimillion-dollar security budgets—can fall victim to a cyberattack, it’s not a matter of “if” your Kansas City business might be targeted. It’s “when.”
Small businesses are actually more frequently targeted by cybercriminals than large enterprises. Why? Because attackers know smaller businesses:
- Often lack 24/7 security monitoring
- Don’t test their backups regularly
- Rely on generic IT support
- Underestimate their own risk
Aflac’s story should be a wake-up call—not just for the insurance industry, but for any business handling sensitive customer data.
The Tactic Behind the Breach: Social Engineering
Aflac’s incident is believed to be part of a broader attack campaign tied to a cybercrime group known as Scattered Spider.
Unlike traditional hackers, this group doesn’t just exploit software vulnerabilities—they exploit human vulnerabilities.
They use:
- Phone-based impersonation to trick help desks into resetting passwords
- Fake vendor emails to gain access to internal systems
- Credential stuffing to exploit reused passwords across platforms
It’s targeted. It’s clever. And it works—especially against companies that haven’t trained their teams or hardened their identity controls.
If your business relies on usernames and passwords alone, you’re already exposed.
What Aflac Did Right—And What You Can Learn
Here’s where Aflac succeeded—and what you can replicate even on a small business budget:
- Early Detection
Aflac spotted the intrusion within hours. That’s huge. Most businesses don’t realize they’ve been breached until weeks later, often after customer complaints or ransom demands.
"Most small business breaches aren’t caught until it’s too late," says Huey Huynh, President and CEO of Business Data Services. "What saved Aflac was their visibility. If you don’t have 24/7 monitoring in place, you’re gambling with your business."
Lesson: You need 24/7 monitoring. Antivirus alone won’t cut it.
- Business Continuity
Operations continued without disruption. Aflac avoided ransomware deployment because of early containment.
Lesson: Security layers matter. It’s not about one tool—it’s about a coordinated strategy.
- Third-Party Experts
They immediately brought in cybersecurity pros to assist with containment, investigation, and recovery.
Tito from Business Data Services adds, "Every hour counts during an incident. You don’t want to be Googling cybersecurity help while your systems are under attack. That’s why our clients have us on speed dial—it’s not just peace of mind, it’s business survival."
Lesson: Have a trusted cybersecurity partner before disaster strikes.
- Regulatory Transparency
They notified the SEC, state regulators, and customers promptly.
Lesson: Clear, transparent communication protects your reputation and ensures compliance.
- Customer Support
By offering 24 months of credit monitoring and ID protection, Aflac reinforced customer trust.
Lesson: If you collect sensitive data, you must plan for post-breach customer support—before you need it.
What a Breach Would Cost You
For Aflac, this will be a reputational bump in the road.
For your business? It could be a total derailment.
Consider the ripple effect:
- Downtime: Can you afford to halt operations for 3–7 days?
- Legal exposure: Are you prepared for fines from HIPAA, FTC, or state agencies?
- Reputation damage: How many clients would leave if they found their data was leaked?
- Recovery costs: Will your cyber insurance actually cover the breach?
The average small business breach costs over $300,000. Yet most small businesses spend less than $5,000 a year on cybersecurity.
That gap is where the damage happens.
Many small businesses think their cyber insurance will cover everything. But as we covered in our blog on cyber insurance pitfalls, most policies have strict requirements—and if you’re not prepared, you could be left footing the bill.
Are You Actually Prepared?
Here’s a 7-point checklist based on Aflac’s response. Be honest:
| ✅ | Do you have 24/7 threat detection—not just antivirus? |
| ✅ | Are your backups encrypted, isolated, and tested monthly? |
| ✅ | Have you trained employees on social engineering and phishing? |
| ✅ | Is multi-factor authentication in place everywhere? |
| ✅ | Do you have a written incident response plan? |
| ✅ | Are your cybersecurity measures aligned with your insurance policy requirements? |
| ✅ | Do you know who to call in an emergency? |
If you can’t confidently check all seven, it’s time to upgrade your IT strategy.
How Kansas City Businesses Can Build an Aflac-Style Defense
You don’t need a Fortune 500 budget to adopt smart security practices. Here’s what we implement for clients every day:
Backup and Disaster Recovery
- Daily, encrypted, offsite backups
- Monthly recovery testing
- Air-gapped backups to prevent ransomware encryption
Monitoring and Threat Detection
- 24/7 real-time monitoring
- Alerts for abnormal behavior
- Automatic isolation of infected devices
Employee Training
- Quarterly phishing simulations
- Real-world social engineering scenarios
- Quick-reference guides for frontline staff
Multi-Layered Security
- DNS filtering and firewall management
- Device encryption and mobile controls
- Business-grade email threat protection
Incident Response
- Prebuilt response workflows
- Contact lists and notification templates
- Support in meeting regulatory timelines
You don’t have to figure it all out alone. You just need a partner who’s done this before.
Bonus: Zero Trust Security
Modern threats require modern defenses—and that means moving beyond “trust but verify.” We recommend Kansas City businesses adopt a Zero Trust approach, where no one and nothing is trusted by default.
Here’s how that looks in action:
- Zero-Trust Applications: Every app request is authenticated, verified, and continuously monitored—no open back doors or blanket access.
- Zero-Trust Storage Controls: Sensitive files are shielded with strict access policies and micro-permissions—users only see what they truly need.
- Zero-Trust Ringfencing: Even if malware gets in, it can’t move laterally. Each system is isolated to contain threats instantly.
Think of it like locking every room in your office instead of just the front door.
When layered with strong detection, backups, and training, Zero Trust builds a digital fortress that dramatically reduces risk.
Not Sure Where You Stand? Take the Ransomware Readiness Quiz
Let’s cut the guesswork.
Our free quiz gives you a personalized snapshot of your ransomware and breach preparedness in under 2 minutes.
Take the "Could You Survive a Ransomware Attack?" Quiz
You’ll get:
- A risk score
- A breakdown of your strengths and gaps
- Simple steps to close the gaps
- Optional expert help—if you want it
It’s built for Kansas City small business owners who want peace of mind, not panic.
What to Do Next
This Aflac incident isn’t a fluke. It’s a forecast.
Hackers are evolving. Insurance companies are scrambling. Your clients are watching.
Let’s make sure your business is built to withstand the next cyber storm.
- Take the Quiz
- Book a Free Risk Review with our Kansas City-based team at Business Data Services. We help small businesses build proactive defenses and simplify IT—learn more on our homepage.
Let’s turn uncertainty into strategy—before someone else turns your business into their next payday.
