What A Cyber Policy Should Look Like

WHAT SHOULD YOU LOOK FOR IN A CYBER POLICY?

  • Access to a 24/7 breach hotline
  • Incident response costs, such as computer forensic services, legal counsel and customer notification and call center services
  • The cost of recovering or replacing lost or stolen data
  • Income loss due to business interruption following a cyber incident
  • Cybercrime—i.e electronic funds transfer, extortion and fraud

CONSIDER WHETHER THE PROVIDER WILL…

  • Defend you in a lawsuit or regulatory investigation (look for “duty to defend” wording)
  • Provide coverage in excess of any other applicable insurance you have

FIRST-PARTY COVERAGE

First-party cyber coverage protects your data, including employee and customer information. This coverage typically includes your business’s costs related to:

  • Legal counsel to determine your notification and regulatory obligations
  • Recovery and replacement of lost or stolen data
  • Customer notification and call center services
  • Lost income due to business interruption
  • Crisis management and public relations
  • Cyber extortion and fraud
  • Forensic services to investigate the breach
  • Fees, fines, and penalties related to the cyber incident

THIRD-PARTY COVERAGE

Third-party cyber coverage generally protects you from liability if a third party brings claims against you. This coverage typically includes:

  • Payments to consumers affected by the breach
  • Claims and settlement expenses relating to disputes or lawsuits
  • Losses related to defamation and copyright or trademark infringement
  • Costs for litigation and responding to regulatory inquiries
  • Other settlements, damages, and judgments
  • Accounting costs

3 CYBER POLICY “TRAPS”

  • Data re-creation vs data recovery
  • Call back warranties
  • Aggregate limits

Talk to us about not falling into these traps and ensuring you have the right coverage in place to help prevent, respond to and recover from cyberattacks

Download the PDF Version Today!

Leave a Reply