Cyber crimes are becoming increasingly common in our hyper-connected world. Data breaches can cost you dearly in fines and legal fees, not to mention unwanted stress. Companies both big and small are affected. In fact, more than half of small businesses have endured a data breach. Cyber risk insurance can help with the costs and the headaches associated with a data breach.
What Does Cyber Liability Insurance Cover?
Each insurance plan is built with the specific needs of the company in mind. However, common covered expenses include:
- Monetary losses caused by network downtime, data loss recovery, and crisis management to repair reputation damage
- Investigation to determine how the breach occurred, how to fix the damage, and how to prevent a similar breach in the future
- Notification to alert anyone whose information may be compromised and credit monitoring for clients whose financial data may have been stolen
- Legal judgements to affected third parties such as customers or business partners
Cyber risk insurance can save your company both money and headaches if you become a victim of cyber fraud. Financial damage and damage to your reputation can be difficult to overcome. With the proliferation of cyber crime in the internet age, every business should consider adding this insurance to their existing coverage.