With the increase of cyber attacks happening everyday, cyber liability insurance is available to cover you in case of financial exposure.
Your general or professional liability insurance probably has some basic coverage for cyber liabilities, but it doesn’t hurt to have a separate policy.
Cyber insurance is pretty new so there aren’t policy standards like you would see with general liability insurance. Every carrier and policy may have their own limits and exclusions. Discussing what all is included with your insurance carrier’s Managed Services Provider can give you more information on the your largest cyber risks and benefits of having a cyber insurance policy.
Taking a look at cyber insurance, the policy is broken into first party and third party coverages. First party coverage are the immediate expenses such as: notifying the public, fixing the probelm, business interruptions costs, etc. Third party coverage deals with the lawsuit and legal side of a cyber attack.
There are some things that aren’t covered under the policy such as criminal activity or social engineering attacks. They also may not cover items included in your general liability insurance like bodily injury or property losses.
Now the real question: Should you consider getting cyber insurance? – Yes! Some companies may not be able to afford the insurance but it is always worthwhile taking a look and seeing your options. Some companies are a higher risk than others so it is always beneficial to do your research! Reach out to your insurance carrier and see what options they might have for you.
