Electronic Crime – Cyber Insurance

Insurance coverage has been developed to address the challenges faced by business’ increased dependence on IT networks, third party IT and IT sub-contractor together with increasing and evolving risks associated with the abundance of digital assets and private data which companies collect and store. Cyber policy needs to tailor-made to each company to include cover for the specific identified risk exposures.

Main coverage

First Party Loss

• Damage to Digital Assets: Costs to recollect recreate and reconstitute the digital assets of an insured which is damaged or lost, altered, corrupted, distorted or stolen and any other costs to prevent, minimise or mitigate any further damage.
• Non-Physical Business Interruption and Increased Cost of Working: Income loss and interruption expenses incurred by the insured during the period of restoring the network directly as a result of the total or partial interruption, degradation in service or failure of the computer network.

Privacy and Liability to third party

• Third Party and Employee Privacy liability: Damages and legal fees as a result of a privacy breach or breach of confidence.
• Security Liability:Third party damages and legal fees as a result of unauthorised use, unauthorised access, transmission of a virus, denial of service attacks and other computer crime.
• Multi-Media Liability: Damages and legal fees as a result of a wrongful act in the course of publishing content in electronic or print media, including online social media platforms.

Privacy regulation defence, awards and fines

• Privacy Regulatory Investigation and Defence: Expenses resulting from investigation, adjustment, defence and appeal of regulatory proceedings.
• Privacy Regulatory Fines and Penalties: Where insurableby law.
• Payment Card Industry Fines: Where PCI Data Security Standards are breached

Crisis management and reputational expenses

• Costs to employ specialist forensic experts and solicitors toinvestigate and respond to a privacy breach or system failure.
• Costs to notify victims of privacy breaches and provide themwith identity theft assistance and costs for PR related servicesto mitigate reputational harm.

Cyber extortion

• Costs to engage crisis management experts
• Costs to pay ransoms if this is deemed to be necessary

• Bodily Injury/ Property Damage
• Assumed Liability
• Insured versus Insured
• Employment Related Wrongful Acts
• Prior Matters
• Intellectual Property
• Trade Secret