Why Aren’t Insureds buying more Cyber Liability Coverage?
Most companies think that cyber liability coverage just covers data breaches or hacks. Small businesses are at a greater risk everyday of a cyber attack, but data breaches aren’t the most common threat for them. If you’ve ever had a computer or laptop stolen, that is also considered a cyber threat. How much information do you have stored on a work laptop? Could you possibly keep customer information on those devices? Long story short, cyber attacks come from more places than we think.
Other forms of cyber attacks can come in the form of stolen client information from ex-employees, falsified accounts payable invoicing, anti-virus spyware/malware, cyber extortion, and unbelievably, even dumpster diving can result in a cyber threat. Anytime the data a small business keeps gets out, and is used illegally, that can results in the small business being responsible for covering the costs of the cyber crime.
What Are the Costs of a Cyber Attack?
The issue with the actual monetary value of a cyber attack is very tough to pinpoint. You will be responsible for alerting all parties of the breach, as well as covering the cost of any negative results of that breach, and continued monitoring for each person affected. Then there’s all the hidden costs associated with the breach, such as increase in premiums, operational disruption, lost client relationships, and loss of intellectual property to name a few.
Why Should You Cross Sell Cyber Liability Coverage to your Insureds?
General Liability Policies , for the most part, do not cover cyber related loss. If you think that this is only a larger business risks, see Equifax, then you are sorely mistaken. Contractors who take credit card information via their cell phone, or a small studio that uses iPads for payments are at risks just the same as the big companies.
Southern Insurance Underwriters has cyber liability coverage available and here are some of the highlights:
- limits up to $10M
- Flexibility to purchase shared or separate limits
- $500 minimum premiums
- Excess quotes available
Please come visit www.siuins.com for more information on cyber liability coverage.