Cybercrime is now a workplace wellness issue, warns BOXX Insurance

BOXX Insurance’s Jim Hand explains how cybercrime can lead to employee stress, burnout and productivity loss

Cybercrime is a growing personal threat that’s increasingly disrupting employees’ lives, causing HR leaders and insurance providers alike to rethink workplace wellness.

According to Jim Hand, the effects go far beyond stolen data or financial loss. The real damage, he argues, is psychological because cyber incidents can trigger anxiety and stress that linger well after the event, undermining employee well-being and productivity.

With cyberattacks becoming more frequent, BOXX Insurance is pushing to reframe the conversation around digital wellness.

“Because cyber crime is becoming such a regular occurrence for Canadians, it’s becoming something that we’re seeking to have a discussion with benefits providers now about how they can provide a level of protection for themselves,” explained Hand, head of Canadian affinity sales & strategic partnerships at BOXX.

“Cyber crime is significant and the psychological impact leads to increased anxiety and stress. It even have a lasting mental health impact to people in terms of once an incident happens or even anticipating an incident. It can impact the employee, cause them stress and it takes a while to recover so that can impact their productivity as well,” added Hand.

But digital risks aren’t just limited to financial loss or identity theft. Cyberbullying is one of the fastest-growing categories of personal cyber claims, noted Hand. When families are targeted, the stress can be overwhelming, and most people are left to handle it alone.

“Having access to somebody who can help you through that – through legal support, through technical support, through mental health counseling, and even tutoring if necessary – can just make that whole situation go much, much easier,” said Hand.

He sees cyber incidences as deeply personal experiences that can derail an employee’s well-being and disrupt their ability to work. Hand argues that employers who offer meaningful support for digital threats – whether through education, real-time help, or recovery services – can differentiate themselves in a competitive talent market.

This kind of forward-thinking approach can be increasingly tied to employer branding, noted Hand.

While most organizations have already adopted basic cybersecurity training, Hand argues that these measures often fall short in today’s hybrid work environment, as employer and employees alike use their work-provided devices on a personal basis. As a result, the risks extend beyond company firewalls, often left unprotected.

Hand emphasized employers need to move beyond checkbox compliance and equip employees with tools that address their digital lives more holistically. That includes identity and credit monitoring, which can help “make themselves a harder target” and reduce the chances of an attack in the first place.

But when things do go wrong, timely support becomes critical. He emphasizes the importance of 24/7 access to cybersecurity experts who can walk employees through real-time breaches, whether it’s a phishing scam or a fraudulent banking site.

“We don’t want people to lose sleep over that,” he said. “Having somebody to turn to that’s going to give them trusted advice, a practical step-by-step approach can really help.”

Hand also pointed to financial protection as a crucial, yet often missing, element in most benefit plans. Notably, according to Canadian Anti-Fraud Center, average losses from fraud reach an average of $24,000. That’s why Hand sees anti-fraud insurance as the final layer of security.

“If there is a loss and the bank says that you were tricked, having somebody then to turn to through like an anti-fraud policy to be able to get that money back should be the last piece of the pillar,” he said.

While some insurance policies may offer limited identity theft recovery, Hand says they often fall short of covering actual financial losses or addressing the broader range of threats people face – such as data breaches, cyberbullying, or extortion. Comprehensive coverage is rare, especially in the Canadian market.

Still, Hand emphasizes that there isn’t a single solution for wellness as different employees face different risks. For example, he points out that senior workers are disproportionately targeted “at twice the rate of the general public” and often experience higher financial losses. For them, insurance protection may be more critical. On the other hand, younger employees may benefit more from preventative tools like dark web or credit monitoring.

Additionally, cyber threats continue to grow more sophisticated and more profitable, which means organized criminal networks are now shifting their focus from large institutions to everyday individuals. And they’re not acting alone, Hand explained, noting that tools once reserved for expert hackers are now widely available, allowing anyone with basic technical know-how to launch targeted attacks.

Yet, Hand urges HR leaders to start by looking inward. Before introducing new digital protection tools, employers should assess what’s already included in their current benefits package—because in many cases, coverage gaps exist that have either been overlooked or underused. Once those gaps are identified, employers can determine whether the missing components involve education, breach response, access to real-time help, or insurance coverage.

Personalization is essential when it comes to cyber education in the workplace, especially because the impact of cybercrime often extends beyond the individual employee, asserted Hand. To be effective, education needs to go beyond the typical training modules that employees are required to click through every few weeks. Instead, employers should give people a broader understanding of risks that affect them not just as workers, but as parents, children, and caregivers.

Hand pointed to personalized training platforms as one way to address this gap. Through tools like risk assessments, employees can receive feedback tailored to their digital habits and household circumstances.

That’s why Hand ultimately encourages HR teams to think modularly, breaking down offerings and customizing them to employee needs.

“We now see a significant role for organizations to play and expanding the traditional definition of digital wellness to include cyber wellness,” said Hand. “We want to introduce the tools that are available to HR professionals and the benefits those tools bring to help them achieve cyber security.”