Cyber Risks Insurance
What is cyber risks insurance?
This protects your business against the financial consequences of a cyber attack. Examples of cyber attacks are hacking or malware or ransomware infiltrating your system.
Although the coverage provided by cyber insurance policies varies depending on the insurer, most will cover the financial losses of the business itself and financial losses of customers or third parties, whose data has been compromised by the Cyber attack on your system financial and reputational costs if data or electronic systems have been lost, damaged, stolen or corrupted.
Cover usually includes:
the cost of investigating a cybercrime,
recovering data lost in a security breach and
the restoration of computer systems,
loss of income incurred by a business shutdown,
extortion payments demanded by hackers,
and notification costs, in the case you are required to notify third parties affected.
damages and settlements,
and the cost of legally defending yourself against claims of a GDPR breach.
What types of business need cyber liability insurance?
Any business which uses computers and websites to collect, process and store customer data. Recent statistics show that healthcare and financial businesses are amongst the most frequent targets but all online businesses are at significant risk. For E-commerce businesses that use a website for sales and stock management the results of a cyber attack can be devastating.
Is Cyber Liability insurance compulsory?
No Cyber liability insurance is not compulsory, with the exception of companies that work on some Government contracts which are required to hold Cyber essentials certification, a Government backed scheme aimed at assisting businesses manage their Cyber risk (About Cyber Essentials - NCSC.GOV.UK).
How much cover do I need?
That depends on a number of factors including the sort of work you are doing, the type of client you are working for, the type of data you store, and how much you can afford.
Where can I get a cyber liability quote?