Cyber liability insurance is a critical policy designed to help businesses respond to and recover from a data breach or cyberattack. It covers a wide range of expenses, including the costs of notifying affected customers, credit monitoring services, public relations to restore a company’s reputation, and legal defense if the business is sued, making it essential in today’s digital world.
- What It Is: A policy that covers liability and property losses resulting from a data breach or cyberattack.
- What It Covers:
- First-Party Costs: Notifying customers, credit monitoring, and public relations.
- Third-Party Costs: Legal defense and settlements if your business is sued for losing client data.
- Cyber Extortion: Costs related to ransomware attacks.
- Who It’s For: Any business that stores sensitive customer or employee data electronically.
- Key Considerations: Demand for this insurance is rising rapidly due to the increasing frequency of cyber threats.