Cyber Liability: Protect against a data breach
We’re all familiar with some of these headlines in the news: ‘Top bank is hacked’, ‘University marketing department laptop stolen’, ‘Dating site customer database compromised’. Have you ever considered how your business would cope if your customer data was unlawfully obtained by a third party?
We live in an age where data hacking is common place, and intellectual property is becoming more and more valuable. Some of the costs that a data breach can incur are phenomenal, but you can plan for this eventuality by taking out Cyber Liability Insurance.
NEW EU LAW COULD INCREASE CYBER LIABILITY CLAIMS AGAINST YOU
EU authorities agreed tough new data protection laws in December 2015. The move will result in higher fines, compensation payouts and data breach costs for companies. The new laws, which will apply across the EU from early 2018, will bring the region more in-line with the US, where strict data protection laws have massively increased the cost of data breaches. With this law coming into place, having cyber liability insurance more important than ever.
CYBER LIABILITY INSURANCE CAN COVER:
- Data breach/privacy crisis management cover. For example, expenses related to the management of an incident, the investigation, the remediation, data subject notification, call management, credit checking for data subjects, legal costs, court attendance and regulatory fines.
- Multimedia/Media liability cover. Third-party damages covered can include specific defacement of website and intellectual property rights infringement
- Extortion liability cover. Typically, losses due to a threat of extortion, professional fees related to dealing with the extortion.
- Network security liability. Third-party damages as a result of denial of access, costs related to data on third-party suppliers and costs related to the theft of data on third-party systems.