Many companies would benefit from additional cyber liability coverage above and beyond whatever protection is offered by their general liability insurance, and a good portion of them don’t realize it. Often, when they learn what cyber liability covers, it’s a quick decision to include an expanded coverage policy in the next insurance review, or even to begin a new review to find out how to fit it in. The short explanation is simple, but it doesn’t quite capture the full range of claim scenarios. Cyber liability insurance is coverage against financial liabilities generated by digital activity initiated by your business, including the theft of customer data.
Common Claim Examples
Cyber liability insurance examples include:
- Identity theft due to stolen employee or customer data
- Lost data and breach notification costs
- Employee data theft
- Network security
- Social engineering liability
Many businesses have exposure in these areas due to online customer service portals and storefronts, but even more have them because of internal records stored on computers that could be breached through a network connection. That second group represents the businesses that can easily miss the need for extended coverage in this area. If your business needs new cyber liability coverage or you think it might be time to expand your policy, get in touch with an insurance professional today.