Cyber Insurance Liability

Cyber liability insurance covers the financial losses and expenses that businesses may face due to a cyber attack or data breach. There are two types of coverages that cyber liability insurance provides:

These coverages protect your interests, such as:

• Notification and crisis management expenses: the cost of informing affected parties of a data breach or cyber attack, as well as hiring public relations consultants to manage the fallout of the incident.
• Cyber extortion expenses: the expenses related to a cyber extortion threat, like a ransomware attack, including paying ransom, costs to negotiate with cybercriminals, and expenses to respond to the threat.
• Forensic investigation and data restoration expenses: the cost of investigating the cause of a data breach or cyber attack, and costs to recover or restore lost or damaged data.
• Business interruption losses: the loss of income or extra expenses incurred as a result of a cyber attack or data breach that disrupts business operations.
• Data loss or destruction: the losses due to the destruction, corruption, or theft of electronic data, and the cost to recover or replace lost data.

These coverages protect your organization against claims made by third parties, such as:

• Privacy and network security liability: covers the costs of defending against claims by third parties for damages arising out of a breach of personal or confidential information.
• Regulatory defense and penalties: covers the costs of defending against regulatory actions and paying any fines or penalties that result from a data breach or cyber attack.
• Media liability: covers claims arising out of the publication of content on a company’s website, like copyright infringement, defamation, or invasion of privacy.
• Network security liability: covers claims arising from a failure to prevent unauthorized access or damage to another party’s network.
• Electronic media liability: covers claims arising from the transmission of a computer virus or other harmful code that damages another party’s computer system.