Whether a business is in healthcare, accounting, legal, real estate, manufacturing, etc., most of a business’ important assets are digital. (Government municipalities are included too.) To make matters complicated, it’s very common for these digital assets to be stored in various systems and locations, intertwined with a third party’s digital information. With so many opportunities for disaster, steps must be taken to insure this critical information.
Cyber insurance is a new frontier that is rapidly evolving as the industry gets its bearings. Many companies are finding that their current cyber policies have very minimal coverage in case of a cyber breach, and the majority of these policies will not come close to providing the necessary breach coverages to the business or municipality.
When looking at your existing or new cyber policy, it’s important to consider these types of coverages:
As we have come to realize, the idea that security starts and ends with the purchase of a pre-packed firewall is simply misguidedArt Wittman
1. Privacy Breach Notification
Some reports estimate the notification and credit monitoring costs alone are over $100 per record, so if you had 1,000 compromised records, this alone could cost $100,000 or more.
2.Data Loss Restoration
Believe it or not, many large insurance carriers have policy exclusions for the replacement and restoration of data, so be very careful in this area when reviewing your policy.
3. Privacy Liability
This covers for the theft or loss of private information related to customers and other third-party information that is in your care.
4. Regulatory and PCI Defense
Many industries are under strict regulatory control, and breaches may result in fines and other penalties from these regulatory agencies.
5. Public Relations
If an enterprise has a breach, the bad press they receive can do significant long term reputational damage and can also be used by competitors to their advantage. This coverage will help hire a public relations firm to mitigate the reputational damage your name brand might incur.
6. Cyber Crime
If your organization is threatened with various cyber threats such as malicious code that will result in financial loss or data loss, this coverage is needed for the reimbursement of the costs associated with these threats.
7. Defense and Settlement costs
A breach affecting a lot of customers may result in lawsuits and financial settlements, so insurance coverage is needed to offset these potentially enormous costs.
8. Consulting and Forensic Fees
If a breach does occur, the upfront investigative process will require a lot of professional expertise and a lot of money, and this specific coverage will offset these significant costs.
9. Business Continuity
If a hack causes your business to lose income, this coverage will reimburse you for these losses.
It takes 20 years to build a brand or company reputation and a few minutes within a cyber incident to ruin itStephane Nappo
For a free cyber insurance policy evaluation, contact Libertate Insurance today at 813-367-7574 or email me, James Buscarini at firstname.lastname@example.org.
Our professionals are happy to review and discuss your firm’s existing cyber liability insurance policy and the relation to your unique business requirements, needs and cyber coverage. Our goal is to help your PEO and client companies navigate the cyber liability insurance landscape and identify potential vulnerabilities that could be exposed based on your existing technology network and infrastructure. Finally, we want to make sure that in the event of a ransomware attack, business email compromise or phishing expedition your firm has adequate coverage in each of the areas that you might be vulnerable to be targeted in.