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Executive Summary

Canada’s decision to shut down Hikvision’s operations highlights a larger problem. The security devices you rely on to protect your home or business can also create online risks. Weaknesses in affordable, internet-connected cameras may let hackers watch live feeds, steal sensitive data, or access your network, causing financial and privacy issues.

The Hikvision Ban is a Cyber Risk Warning to Canadians

In June 2025, the Canadian government ordered Hikvision, a major global manufacturer of surveillance cameras, to shut down all Canadian operations due to national security concerns. Regulators stated that the company’s presence was “injurious to Canada’s national security,” prompting the full removal of its technology from government systems and critical infrastructure.

If you use internet-connected security cameras at home or work, this news is a clear reminder that these devices can create real cybersecurity risks. As insurance brokers, we often see how compromised equipment can cause privacy breaches, business interruptions, and even denied insurance claims.

Cybersecurity Risks Linked to Hikvision and Similar Surveillance Technology

The issues with Hikvision devices highlight several risks that come with using low-cost, high-risk connected security systems:

1. Remote Access Vulnerabilities

Some models have been found to have authentication flaws that let attackers bypass passwords, pretend to be users, or control cameras remotely.

This means that homes and businesses could be viewed by unauthorized people or even scouted for further attacks.

2. Potential Data Transmission to Unknown Servers

Some reports show that certain devices automatically connect to servers outside Canada, which raises concerns about where your video footage and data are really stored.

3. Outdated or Poorly Maintained Firmware

Inexpensive or unsupported devices often stop getting security updates, making them easy targets for hackers who want to exploit known weaknesses.

4. Privacy & Liability Exposure

If a hacked camera causes a privacy breach, property loss, or theft of customer information, the owner could face regulatory penalties and may have trouble with insurance claims if the technology was considered high-risk.

The bottom line is simple: if someone can break into your security system in minutes, it’s not really protecting you.

A Hypothetical Example: What Could Go Wrong

Picture a small retail shop in Ottawa that installs low-cost Wi-Fi security cameras, storing footage in the cloud. The owner doesn’t change the default passwords.

A hacker takes advantage of a known weakness to access the system, letting them watch live and recorded video. They see when deliveries happen, spot alarm blind spots, and eventually break in after hours.

They steal inventory and, even worse, get into a back-office computer with some customer payment data.

Now the business is dealing with:

  • Theft & property damage
  • A privacy breach
  • Potential PCI compliance violations
  • Mandatory notification requirements
  • Reputational harm
  • Hours of downtime while systems are secured

Without proper cyber insurance, the retailer might have to pay large expenses themselves and may not fully recover.

This is the kind of situation insurers warn about when they look at a home or business’s cybersecurity.

More Secure Alternatives to Hikvision Technology

To lower your cyber risk and improve your insurance standing, choose surveillance technology from vendors who follow strong cybersecurity standards, have clear supply chains, and meet Canadian regulations.

Recommended Alternatives

  • Avigilon (Motorola Solutions): North American company offering enterprise-level security, strong encryption, and good for commercial clients.
  • Axis Communications: A well-known manufacturer with strong firmware support and solid cybersecurity certifications.
  • Google Nest / Google Home: Offers frequent updates and built-in security, making it a good choice for homes.
  • Ring (Amazon): Popular with homeowners, uses encrypted cloud storage, and provides regular firmware updates.
  • Ubiquiti UniFi Protect: Offers local storage, strong access controls, and is suitable for small businesses.

Best Practices (Regardless of Brand)

  • Change default passwords immediately.
  • Disable remote access if unnecessary.
  • Store footage locally or in encrypted cloud environments.
  • Update firmware regularly.
  • Segment your home or business network.
  • Limit who has administrative access.
  • Invest in personal or business cyber liability insurance.

A secure system lowers the chance of a breach and helps make sure you have full access to your cyber or property insurance if something happens.

Why Cyber Insurance Is Critical in 2025 and Beyond

Even with the best technology, no system is completely safe from breaches. Cyber insurance helps protect your finances if an attack happens.

A well-structured cyber policy can cover:

  • Cyberattacks originating from compromised smart devices
  • Privacy breaches involving customer or employee data
  • Business interruption after a security incident
  • Cyber extortion and ransomware
  • Incident response, digital forensics, and system restoration
  • Legal and regulatory penalties
  • Third-party liability claims

At Gifford Carr, our job is to help you pick technology that keeps you safe and make sure your insurance does too.

If you use connected cameras or smart devices, or if you’re not sure if your system is safe, we can help you review your setup and find the right cyber insurance for your needs. Reconnect with one of our brokers to help you protect what matters.

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