What Is Cyber Liability Insurance Coverage?

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What Is Cyber Liability Insurance?

 

Everyday we see a company that has been the victim of a data breach or cyber-attack in the news and on social media.  Many times this news is from large corporations, we don’t hear of the small businesses that have data stolen or are victims of cyber-attacks. Every type of company uses technology to do business, and they all face cyber risks from stolen data to hacking emails. These risks increase as technology becomes more advanced and prevalent. This is why all businesses need to be prepared for cyberattacks with both cyber liability insurance and a security plan in place.

 

What Does Cyber Insurance Cover?

 

Cyber liability insurance can cover the cost and business liability of data breaches involving sensitive customer information and cyber attacks on your business. The coverage can include:

 

  • Business interruption

  • Ransomware

  • The cost of investigative services and data recovery

  • Third-party damages if your customers or clients are affected as a result of a cyber-attack or data breach on your business or company.  Legal fees, settlement costs, and social media liabilities are all examples of this.

 

How Much Does Cyber Liability Insurance Cost?

 

Overall, the cost of cyber liability policies is generally inexpensive given the coverage that is provided. The cost of cyber liability coverage depends on your business's specific risk and coverage needs.  Small cyber liability insurance policies can be included in your Business Owners Policy (BOP), but if your business needs increased coverage this would need a separate policy.  

 

What Types Of Businesses Need Cyber Liability Insurance Coverage?

 

Any business, whether a larger company or a small mom-and-pop shop that utilizes technology to conduct business needs cyber liability protection.  Business examples are:

 

  • Coffee shops that provide free wifi

  • Service businesses such as CPAs, attorneys, financial advisors

  • Hair salons 

  • Restaurants

  • Retailers

  • Contractors

  • Real estate agents

  • Consultants

 

Additionally, if you use a third party that handles your customer's data and information, such as accountants or IT service providers, they should have their own cyber insurance coverage.  Be sure to request a copy of their policies before hiring them or bringing them on board your business.

 

If your company or business keeps any form of customer or client data and information you should have a cyber liability policy.  

 

Where To Purchase A Cyber Liability Insurance Policy

 

Conducting a quick search online for cyber liability coverage provides an overwhelming amount of companies and information meant to sell you cyber liability insurance coverage.  The most simple solution is to reach out to The Overmyer Insurance Agency. We work with many different companies and we analyze your needs and find the right company and coverage for your unique needs.

 

Our companies that provide cyber liability insurance protection include:

 

Progressive

Travelers

Hartford

Next Insurance

Liberty Mutual

Nationwide


We look forward to reviewing your risk and finding the right coverage program for your business, click or call today.