Cyber Liability Insurance Claim on the rise

Cyber Liability Insurance Claims Increasing

A relatively recent number of insurance claims are appearing and in ever increasing numbers relating to cyber and cyber-crime. Information technology is prevalent in both our personal and working environments, and we rely on the use of computers and the web to store data every single day.

It is well documented that businesses are vulnerable to cyber-attacks which often results in leaked data not limited to sensitive employee or customer details. In 2017, the NHS network was infected with malware that compromised the data of thousands of people in the UK and abroad.

Cyber-attacks affect all manner of businesses and on a daily basis. They are not just targeted at large multinational companies either.

According to the office for National statistics, at least 7 breaches of data were reported in its network. In fact most businesses have suffered some form of phishing or IT related virus in their systems. It’s never been more important to secure your business from cyber-attacks

Importance of Insurance Cyber Liability Cover

Having the right insurance cyber cover can often help minimise the losses and reinstate your business in the event of a breach or attack. Cyber liability policies can offer support such as data recovery and business interruption cover which can help you to get your business back on its feet in the event of a cyber-attack.

Investing In Cyber Technology

Technology does not stand still and is moving at a rapid pace. It’s important to keep all of your hardware and software updated. Invest in a quality anti-virus software. Discussing threats with your staff to recognise phishing emails or files attached to unrecognisable emails will help. The best businesses also adhere to a strict password policy in which these are changed regularly. Try to restrict computer usage in the workplace and discourage access to Facebook, twitter or personal email accounts. You lose control over content that is opened on your network.

HACKERS ON THE RISE

Remember hackers do it for a living and are professionals.  They are working daily to develop ways of hacking into our computer systems. Precautions are all well and good but when we are compromised and protocol fails, your Cyber Insurance cover needs to kick in to assist. Cyber liability Insurance usually covers your business for cloud storage breaches & computer system rebuilds. Restoration of company data is usually needed and there will be associated legal expenses.

Despite the risks, most businesses do not have insurance that would cover them in the event of a data breach. The consequences of not having cover can be disastrous. Losses of data and cybercrime claims are very complicated. Specialists are needed to prove that the breach even occurred. Professional hackers leave few traces of their incursion, and Identifying the damage they caused is often arduous.

Look Over Insurance Policy

Check your policy cover before an incident occurs– don’t let your claim be refused by something that you failed to implement.

Insurance claim management is critical when dealing with cyber claims. There are so many elements such as hacking, viruses, malware, and other denial of service problems. Claims will usually involve specialist forensic IT investigators to provide justification of the extent of the loss. The costs of these services are usually met by the policy. There will be both short and long term negative effects on your business that extend beyond the policy indemnity period. Company reputation is often badly affected and will undoubtedly lead to a loss of business.