Why Cyber Insurance?
If your business uses email, has a website or stores customer data electronically, it is a target for cybercriminals. The latest numbers of cybercrimes are alarming! About 50% of all UK businesses suffered a cybersecurity incident in recent years costing them an average of between £5,000-£30,000 per incident.
The goal of cyber liability insurance is to provide you with practical support and financial compensation if your company falls victim to a cyber-attack.
What does cyber insurance cover?
Cyber covers your time and money that you would lose dealing with a cyber-attack as well as the costs of putting your business back together following a hack or data breach. Also, common to include is the cover for so-called cyber extortion, where a ransomware grinds your business to a halt and cybercriminals demand ransom to let you gain control of your website and/or systems. If part of your cover, this feature will pay the ransom and offer specialist consultancy service to rectify the situation for your business.
Typical aspects covered by a cyber liability cover are as follows:
- Expenses incurred investigating a cyber-attack
- Lost income if a cyber-attack stops you trading
- Legal fees involved in disclosing a breach to the ICO
- Expenses incurred repairing, restoring and replacing your website, networks and data
- Costs of informing customers
- ;lgal fees and compensation costs if you’re sued for losing individuals’ private data
- PR costs of managing your reputation and dealing with the fallout
As you can see, a serious cyber insurance incident can result in an expensive bill, which your business will have to pay for if it doesn’t have any cyber insurance.