Cyber Insurance

What you need to know:

Cyber Insurance
Hacking/data breach/identity theft/email scams/bitcoin ransom—it seems that events big and small are in the news daily. However, did you know that many insurance solutions exist to protect individuals as well as business?

Cyber insurance can protect you from loss due to any type of cyber event such as a hack/malware/ransom attack. Coverage and be extended to protect not just yourself but as well from 3rd parties making claim against you. . If you pass on an email scam/virus to a customer, vendor or any 3rd party you can be held responsible. Yet virtually all policies severely limit or exclude any type of Cyber loss.

Cyber can also include clean up costs (for such things as notifying all affected clients, for necessary credit protection and often includes 24 hour emergency support just when you need it the most).

Phishing or Social Engineering refers to email scam that are all too often. No-you did not inherit $1M from a long lost relative and don’t click on the attachment. The CRA does not email or txt you demanding payment………these are all types of social engineering scams, and again a Cyber policy can be acquired to protect an individual or a corporation of any size. Once you email the money to the wrong person, you have no guarantee of recovery.

Ransomware refers to the practice of hackers literally taking over business and holding it hostage. Hackers can shut systems off, release sensitive data to the public or a competitor or even redirect sales elsewhere. Don’t worry though—they will share with you precise instruction how to purchase Bit-Coin to pay the ransom as well as how to send payment. Only then are systems restored to normal (until the next time)

With estimated costs of Cyber related claims hitting nearly $500billion annually (2017 stat courtesy of Canadian Chamber of Commerce April 2017) everyone needs to be aware of the risks and how to deal with them. Part of a robust insurance program includes a careful review of Cyber coverage, limits and what you can do to better protect yourself or your business.