Internationally, cyber and privacy liability insurance has grown in popularity and market share, as insureds and insurers alike grapple with the mercurial risks associated with:
- Interconnected business;
- Human error;
- Supply chain dependency;
- A dramatic escalation of increasingly sophisticated intentional or unintentional cyber-attacks; and
- A proliferation of data privacy laws and regulations.
The Australian cyber insurance industry is quickly maturing, leading to risk managers, the C-Suite and the board faced with a plethora of options to insure their organisation’s internet-based and information technology risks. The lack of standard cyber insurance policies leads to confusion in understanding the protections a policy can offer. Let’s look at cyber insurance and demystify the terminology, products and offerings on today’s market.
Cyber insurance can be used to reduce the impact of a cyber-attack or data breach. A cyber policy provides cover in the event of your organisation suffering a data breach, being hacked, employee error, losses from business interruption, fines, penalties and even civil lawsuits resulting from privacy breaches. Such policies are unique, in that most provide a (potential) promise to pay, but also the provision of a dedicated team of industry relevant professionals to assist in the event of a claim.
Good cyber insurances combine third party liability cover with first party costs and a service offering to assist organisations, both during and after they suffer a breach…Click HERE to read full article.