Technology Turning to tech in search of solutions. Technology stands to transform nearly every facet of the construction business, potentially alleviating long-standing pressures like safety, productivity and labor shortage. But many firms are overwhelmed by it and have neither the skills nor the budget to invest — nor are they prepared for the accompanying risks like bad actors hacking equipment or shutting down sites entirely for ransom. In addition to training, a cyber incident response plan Still, investments are growing in data analytics, the internet is key to securing adequate cyber coverage, yet three- 17 Being proactive of things (IoT) and telematics, not to mention drones, quarters of construction firms lack one. wearables and other devices. One survey found 68% of against cyber risk through multifactor authentication, firms investing in artificial intelligence alone in 2024; those cybersecurity training and protocols with a solid backup that do invest improve revenue and profit growth and strategy makes businesses much more attractive to 15 underwriters. deliver more projects on time and under budget. Even as more firms test the tech waters, they lack An insurance broker who specializes in construction has awareness of the heightened risk of cybercrime. Deep fake the knowledge and resources to identify and help address technology cyber criminals scammed an engineering firm such exposures with creative solutions to balance the out of $25 million in 2024 when bad actors posed as the growing risks of technology with its lucrative rewards. company’s CFO, highlighting the need for ongoing training to help employees spot red flags and request additional 16 15. Deloitte, “State of Digital Adoption in the Construction Industry verification before making costly mistakes. 2024,” April 18, 2024. And HUB’s survey found only 32% of construction firms 16. CFO Dive, “Scammers siphon $25M from engineering firm Arup via AI deepfake ‘CFO’,” May 22, 2024. have cyber insurance. One contractor, a HUB client, 17. Construction Today, “Safeguarding the construction industry in the suffered a quarter-million-dollar fraudulent funds transfer digital age,” October 23, 2023. incident but was reimbursed through cyber insurance only eight weeks after the event, proof that the coverage was well worth the investment. 6