Cyber Risk Insurance offers comprehensive protection by covering damage or losses to first party and third party due to events like a system security breach, payment flaw, data fraud and other internet related risks.
Industry Specific
The coverage of Cyber Risk or Cyber Liability policy varies considerably as per industry risks. For instance, coverage for an E-commerce firm or a Financial Services firm will vary as they have more risk of cyber attack potentially causing loss. The Insurance we help you to select factors in the right risk level for you.
Universally Recognised
Cyber Risk Insurance meets your contractual requirements. It is also recognised by international laws, investors, external agencies and multi-national organisations, hence it helps to protect your business internationally.
Easy Documentation
Getting Cyber Risk Insurance or Cyber-Security Insurance is quick and easy. Also, the documentation process for buying the policy is simple. You just need to provide the basic information to get quotes from multiple insurers before buying.
Benefits of Cyber Risk Insurance
Coverage For First Party Loss
Cyber Risk insurance policy will compensate you for the losses occurring due to e-theft of money or property such as securities, due to fraudulent input of data for which you are held responsible.
The cyber policy protects your organisation from cyber attack, getting infected by ransomware or any other malicious software.
Coverage is offered to your company's digital assets if they get lost or altered by cyber criminals.
Third Party Liability Covered
Cyber Risk Insurance covers claims made by your customer due to system failures resulting in unauthorised access to their personal information, for which you may be held liable.
Claims against infringement of intellectual property, copyright and trademark are also covered.
A Cyber Risk or Cyber Liability policy will cover liability, slander, and defamation claims due to your digital media presence.
Coverage for Business Interruption
Cyber policy covers the company for the loss of income by business interruption, which may happen due to any software failure or cyber attack causing business disruption.
This insurance will also pay for any damage to reputation directly attributable to cyber attack.
The policy will also ensure that your company gets access to the resources to avail of back- up and minimise the damage to your business.
Cyber Insurance, also known as Cyber Risk liability or Cyber Risk insurance covers a business when it is held liable for the breach of data such as customers' personal information, or financial details of clients if it is stolen by a hacker or any other cyber-criminal. The policy covers expenses associated with data breach like defence costs, fines and penalties.
Yes. Privacy breach costs are covered under the policy. Cyber Risk Insurance will pay for the costs that arise from dealing with a security breach, such as taking appropriate measures and notifying customers. Also, privacy infringement claims and defence cost associated with the same event is also covered by the policy. It is important for a company to handle or store personal information securely to avoid such claims.
Cyber-extortion is a crime in which the company's system is hacked and criminal demands for money are made in return for stopping or averting the attack. The loss due to such an attack to an organisation is covered by Cyber Risk insurance. For instance, you will be compensated if your company is infected with ransomware or any other malware that seizes control over your system or data until you pay money to criminals.
Claims arising out of any fraudulent activity, criminal acts, and wilful violation of any regulatory law are not covered under a Cyber Risk Insurance policy. Moreover, bodily injury, damage to tangible property and death are also excluded from the policy. Also, Cyber Insurance does not cover failure and breakdown of mechanical and electrical equipment.
There are various events which may raise claims, such as the attack of malicious software or virus, accidental leak of confidential data, system service failure, a breach in privacy, loss of data, misuse of personal data and cyber extortion threats. Claims may also arise due to hacking, loss of digital assets, and unintentional exposure of data on the web.
In case of a claim, you should immediately intimate us, and we will inform the insurer. Further, the insurer will appoint a lawyer or surveyor as per the requirement, to administer the claim. In the meantime, you will need to submit the claim form and relevant documents. Our team will help you with documentation during the entire process and ensure hassle-free claim settlement.
No, a claim pertaining to a period before the retroactive date is not covered by cyber insurance. The retroactive date of the policy is reset to the start date of new policy if there is a break in the renewal of cyber insurance. It is recommended to renew the policy on time and carry forward retroactive coverage.
In order to ensure that claims are paid, you should make sure that you provide correct information in the claim form and provide all the relevant documents to the insurer. You should avoid providing fraudulent information and hiding details, because this may lead to claim rejection. Also, while buying the policy, you should provide accurate particulars in proposal form, in order to ensure smooth claim settlement in future.
The premium of the Cyber Risk Insurance policy depends primarily upon the type of your industry and the sum insured of the policy. Also, factors such as the service(s) you provide, the type of data or information you store, your data exposure risks, network security, and annual turnover are also considered while calculating the premium. Your premium will be higher if you have any past claim history.
Yes. Risk perception for each industry type varies by the cyber insurance provider. Hence it is important to take quotes from multiple insurers to get both adequate coverage and an efficient premium rate. For instance, one insurer may quote a lower premium for covering an e-commerce company as compared to another insurer, because of their differences in risk perception.
In order to get competitive premium quotes for Cyber Insurance, you need to fill in the details in the form above. Then you need to provide us with the basic details of your business so that we can assess your business risk. Once we understand the risk, we will put your proposal to the insurer and perform a series of negotiations on your behalf. Finally, we will provide you with the best quotes for the policy.
It is recommended to take the help of an insurance advisor like SecureNow before buying your policy. We will help you in designing a customised insurance by picking the right cyber policy for you, and getting multiple quotes from insurers. Once you finalise the best option, you can make the payment via cheque or net-banking in order to start the coverage.
Many professional indemnity policies do cover cyber liability insurance but there are both gaps and grey areas in their coverage of cyber liability. For instance, if you are held legally liable for a cyber attack, your indemnity policy will not cover defence cost and business interruption. Hence you should consider buying a separate Cyber Risk Insurance for your company for adequate coverage and peace of mind.
Every company who deals with private information of a third party and especially those companies having website portals who are responsible for keeping information protected should consider buying Cyber Risk Liability insurance. Businesses having sensitive customer data like banking, finance, IT services and healthcare service providers must also take a dedicated Cyber Risk Insurance policy.
Whether it is a multinational company or a small startup, every business faces the threat of e-theft, data leak, failure in service systems, and infringement for copyright. Any incident of compromise with IT security can lead to immense data and business loss and may end up in an expensive lawsuit. Cyber Risk Insurance protects your business against these risks due to cyber exposure.
There are many ways to mitigate cyber risks like tightening security systems, encrypting data, protecting outbound data, password protection system and educating employees. Even if you prepare for all these factors, you are still exposed to cyber attacks by hackers. Hence it is recommended to buy Cyber Risk Insurance so as to secure your business.
Insuropedia
What are the different types of Losses Covered by Cyber Risk Insurance?
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What are the Common Exclusions of Cyber Risk insurance?
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