Top 5 Questions on Cyber Liability

1. What is cyber liability coverage?
Coverage for a data breach in which someones personal information is exposed or stolen by a hacker or other criminal who has gained access to a business’s records and other electronic information

2. What does cyber liability protect my business from?
  • Liability claims involving the unauthorized release of information for which the organization has a legal obligation to keep private
  • Claims alleging personal injury and intellectual property violations
  • Claims alleging computer security failures
  • Defense costs from lawsuits related to cyber or web data related cases
  • Prior Acts Coverage
  • Data Restoration
  • Loss Control Services
  • Business Interruption

3. What are some recommendations for buying cyber insurance?
  • Indentify unique risks
  • Understand your coverage
  • Buy what you need and not based on your budget
  • Secure appropriate limits and sublimits
  • Beware of exclusions
  • Get Retroactive Coverage
  • Evaluate Data Restoration costs

4. What does retroactive coverage mean and why is this important for cyber insurance?
A retroactive date eliminates coverage for claims produced by wrongful acts that happen before a specified date. Certain cyber liability policies may be able to cover prior acts coverage.

5. Here is a cyber attack map that illustrates the number of cyber attacks that happen on a given day: