When it comes to cyber liability insurance is your business truly covered? We often ask our clients the same question. What often people do not know is that not all cyber liability policies are written the same. Very much like technology you do not know what you have until you truly need it.
A staggering 55% of small businesses now have experienced a data breach, as many as 53% have experienced multiple data breaches. More and more organizations are turning to cyber liability insurance to be that final protection. We encourage you to work with a technology professional and most certainly an advisor that can help you understand potential areas of weakness for your organization.
1. What is Cyber Liability Insurance
Cyber Liability Insurance covers your business liability in the event of a data breach involving sensitive client information such as credit card, health information, account numbers, driving licence, social security number, address, phone number etc.
2. Does my general policy include Cyber Liability Insurance?
Your general policy typically does not include Cyber Liability Insurance. General liability typically covers bodily injury and property damage resulting from the use of your products.
3. What does Cyber Liability Insurance cover?
Besides legal fees, your policy should cover notifying customers of the data breach, restoring personal identities that have been stolen, recovering compromised data, repairing damaged computer devices. Most states require companies to notify customers of a data breach involving personally identifiable information. Often to remediate a cyber incident can be extremely expensive – for example, if you are a CPA practice forensics are very likely to be involved, and that cost can add up very quickly beyond often your coverage.
4. How much does Cyber Liability Insurance cost?
Costs vary depending on your business risk of course. As we write this blog article the typical cost for a well-written policy that meets your needs could be $2,000, in some cases that can be less. Again, work with a professional to understand any potential liability your business may have.
To help you uncover potential areas of opportunity you can understand to limit your business risk we spoke with a professional in the industry. During our webinar we spoke with Adam Maas of Korthase Flinn to learn what you should look for and understand. To learn more please access our recorded session here- https://bit.ly/2KTepMx
Do you need help preparing your technology for the future? Our vCIO team is ready to tackle your challenges. Contact us today to find out what a vCIO can do for your business.