Whether it’s customer records, employee data, patient information or even student records, most all of this material is now accessible in digital files – transferable through email or to downloadable devices.
Information at your fingertips can come at significant risk to your company and the clients you serve. And you’re not alone. Technology loss related to viruses, hacking, digital defamation and intellectual property infringement is becoming commonplace. We often hear about data security breach issues whether it’s within our government, organization or even at a personal level. With a robust market for the illegal trading and selling of personal information, identity theft is the fastest-growing white-collar crime in America according to the Federal Bureau of Investigation.
Protecting Against Cyber Attacks
Unfortunately many of these new risks are not covered by your existing insurance policies. So what’s the answer? Because technology security is critical – particularly for organizations, it’s become a huge liability if your data (and/or your clients’ information) is compromised or stolen.
Like nearly every other business, you have probably capitalized on the advancements in technology today through the digitization of your company’s important information. Whether it’s your customer records, employee information, patient information or student records, all are digitized and transferable through email or accessible on your network. This convenience comes with substantial cyber risk to your company and the clients you serve. Network security and privacy losses related to viruses, hacking, digital defamation and intellectual property infringement are becoming commonplace. Unfortunately, it’s unlikely that these new risks are covered by your existing insurance policies.
Why cyber insurance?:
What is the financial impact of a security/privacy breach?:
Types of Cyber Coverage
Network Security Liability
Provides liability coverage for damages and claim expenses arising out of an actual or alleged act, error or omission resulting in:
Provides liability coverage if an insured fail to protect electronic or non-electronic private or confidential information in their care custody and control.
Privacy Regulatory Proceeding
Provides coverage for defense expenses, and in some cases penalties/fines, incurred from a regulatory proceeding resulting from a violation of a privacy law caused by a covered security breach.
Breach Response Expenses
Covers crisis management, including credit monitoring services and public relations expenses incurred resulting from a security or privacy breach. Also pays costs of notifying consumers as required by various state, federal or international laws or regulations.
Covers the insured for Intellectual Property (copyright infringement, etc.) and Personal Injury (defamation, etc.) perils that result from an error or omission in content on their website. Multimedia coverage is also available.
Provides coverage for expenses and/or losses incurred as the result of an extortion threat made against an insured.
Provides coverage for business interruption loss and/or business restoration expense incurred by the insured as the direct result of a security breach that caused system failure.
Pays the reasonable costs incurred by the insured, in excess of any normal operating costs, for the restoration of any data stored.
Technology E&O and/or certain miscellaneous professional liability exposures may be combined with the cyber coverage in one policy.