31 May 2016
Cyber Insurance and why your business should have it
With 80% of large organisations suffering a cyber-attack last year, it’s more important than ever to ensure your business is covered.
While the media focuses on attacks on well-known businesses such as Sony and eBay when reporting cases, lower profile companies are confronted with virtually the same risks. It highlights the importance of not only having robust systems in place to protect your company’s data, but having an appropriate insurance policy to minimise the harm, should you be the victim of an attack.
But hacking and extortion are not the only risks which should be considered. Expenses can run into hundreds of thousands for something as seemingly innocuous as leaving a laptop on a train. Even a potential breach is likely to incur costs as you may be required to take legal advice.
Criminals are becoming more advanced in how they attack companies’ systems and the prevalence of outsourcing and remote working in today’s business environment means some company networks are particularly vulnerable to attack.
This is where Centor can help. Cyber liability insurance is becoming an increasingly effective way to protect your business from these types of losses. This is because cover is no longer limited to liability arising from loss of third party data. In fact, cyber liability insurance can be beneficial even if there hasn’t been a loss of data.
Policies have evolved recently to provide cover for critical aspects such as:
- Crisis consultants who will respond immediately, in order to identify and minimise loss;
- Legal services from specialist response advisors. This includes advice on notifying and corresponding with regulators, monitoring complaints and constructing appropriate responses;
- Necessary payments to attackers for cyber ‘extortion’ losses;
In summary, cyber liability should be viewed as more than an insurance policy. It could be more accurately described as a cyber-attack protection service.
Contact your Centor Insurance and Risk Management specialist to discuss how you can benefit from this service.