Cyber Protection Insurance
Cyber protection insurance is designed to help protect businesses from the financial impact of computer hacking or a data breach.
What is cyber protection insurance?
In today’s society, it has become almost mandatory for businesses to be engaged in the digital world in order to operate. Cyber protection insurance is designed to help protect businesses from the financial impact of computer hacking or a data breach.
Who should consider cyber protection insurance?
If your business has a website or electronic records, you’re vulnerable to cyber hackers. A cyber-attack could cost your business more than money. It could threaten your intellectual property and put customers’ personal information at risk – which could damage your reputation.
What can cyber protection insurance cover?
Cyber protection insurance vary in the benefits they provide. Your Westphalian insurance broker can help you find the right product to suit your business’ needs. Depending on your policy, cyber protection insurance may cover you against:
|Type of cover||Potential benefits|
|First party losses|
|Business disruption losses||Covers financial loss you may suffer as a result of a cyber attack|
|Cyber extortion||The costs of a cyber-attack such as hiring negotiation experts, covering extortion demands and prevention of future threats.|
|Electronic data replacement||The costs of recovering or replacing your records and other business data|
|Third party losses|
|Security and privacy liability||Damages to your reputation resulting from data breaches, such as loss of third party data held on your system.|
|Defence costs||Funds the legal costs of defending claims.|
|Regulatory breach liability||Covers legal expenses and the costs of fines arising from investigation by a government regulator.|
|Electronic media liability||The costs of copyright infringement, defamation claims and misuse of certain types of intellectual property online.|
|Crisis management expenses||Provides the costs of managing a crisis by cyber-attacks|
|Notification and monitoring expenses||The costs of notifying customers of a security breach and monitoring their credit card details to prevent further attacks|
What usually isn't covered by cyber protection insurance?
Exclusions, the excess you need to pay and limits of liability can vary greatly depending on the nature of the product you are purchasing, the associated risk, the insurer and the requirements of your business.
Policies generally do not include cover for:
- Damage to computer hardware.
- Criminal actions committed by you or your business.
- A cyber-attack based on facts of which you were aware.
- Criminals using the internet to steal money from you.
There are exclusions which are specific to each type of policy, which your Westphalian insurance broker can outline for you. There may be a deductible/excess depending on your requirements.