Cyber Liability

Every company needs Cyber Insurance.

‍

The limitations to traditional Crime, Business Owners Policies, and General Liability have been tried and tested in courts and coverage for digital risks are seldom covered. The aforementioned traditional policies are named perils and almost always address physical damage of a tangible asset, or bodily injury. While a computer and its components represent physical property, the manipulation of code or information stored on a hard drive is not physical property and is best protected with a cyber policy. 

‍

There are some very gray areas in Crime and Media coverage, but for the most part brokers should think about not what is covered by the aforementioned, rather what is not covered: 

‍

1. Active network surveillance - keep hackers out in the first place;
2. Breach response and legal team to understand requirements under privacy laws;
3. Forensics to understand how hackers got in, are they still in, has the threat been eradicated; and,
4. Coverage to replace hardware permanently damaged by hackers.