Cyber Liability Facility

Cyber Liability Facility

Cyber risk is perhaps the most dynamic risk we have seen to date. The risk permeates all aspects of businesses today and is creating new challenges daily.

Cyber insurance helps companies weather the storm from many technology-based risks – including risks associated with a company’s information technology infrastructure and activities such as a systems failure event, cyber-attack, or data breach.

Cyber insurance also provides coverage for privacy liability events (that is to say, the loss of protected, private information, irrespective of whether it is through a hack or simply a misplaced laptop, USB stick, or even file cabinet), as well as media liability events (for example, if you are accused of defamation, infringement, or other wrongful acts with respects to your website or other electronic media).

Our approach to servicing our cyber clients is strategic, supportive and consultative. The cyber landscape is highly unpredictable. We are consistently monitoring emerging risks, changes in the insurance market, shifts in cyber insurance coverage, and the rapidly evolving legal and regulatory landscape. Our goal is to assist our clients in navigating these changes as they relate specifically to their business by managing and transferring risk and maximizing resources available via their various insurance products.

The Coverage

3rd Party Coverage

Network and Information Security Liability: suits arising out of the failure to secure the insured’s computer/systems from physical theft/use or electronic breach including code/malware/theft of data. Covered amounts include defense costs, settlements, awarded legal fees and damages including punitive & multiplied where insurable.

Regulatory Defense and Penalties: brought by governmental entities alleging a violation of privacy law. Covered amounts include defense costs and insurable penalties imposed by such governmental entities (e.g., FTC and FCC). Includes GDPR Compliance.

Media Liability: suits alleging libel, slander, violation of rights of privacy, misappropriation of ideas, infringement of copyright, domain name, trademark (etc.) Unfair trade practices and anti-trust allegations are not covered. 

PCI Fines and Assessments: covers penalties against you because of stolen clients’ credit card information.

Bodily Injury/Property Damage: covers defense and settlement for claims arising out of bodily injury or property damage to 3rd parties. (ex. Malicious code is transferred to a third party’s systems, resulting in damage to tangible property).

1st Party Coverage

Breach Response: costs including notifications and identity monitoring for victims – separate limit from and in addition to the Aggregate Policy Limit Crisis Management: costs of a public relations firm to mitigate reputational damage of the insured

Reputation Repair: enhances Crisis Management coverage by adding costs for advertising and media purchases.

Cyber Extortion: amounts paid and costs incurred to mitigate a threat made to the Insured Entity expressing intent to cause a fraudulent funds transfer, disclosure of information or damage to/closure of network systems/data

Business Interruption: reimbursement for lost income and operating expense caused by network breach/computer virus Digital Asset Restoration: costs to restore, replace or reproduce corrupted or lost electronic data

Funds Transfer Fraud: the transfer of the Insured Entity’s Money or Securities to a person, place or account beyond the Insured Entity’s control by an employee of the Insured Entity acting in good faith reliance upon a verbal, written or electronic instruction that purported to be a legitimate Transfer Instruction. Up to $1M Limit.

Bodily Injury/Property Damage: covers losses resulting from damage/impairment to your tangible property. 

Computer Replacement: replace damaged, unusable hardware. $500,000 Sublimit.