Cyber Security
Cyber Liability Insurance can address a variety of risks related to the use of computers, internet, computer networks, and electronic information databases.
What is Cyber Liability insurance?
Cyber Liability Insurance can address a variety of risks related to the use of computers, internet, computer networks, and electronic information databases. A primary concern for most organizations is the threat of a data breach -- a security incident in which sensitive, protected or confidential data is copied, transmitted, viewed, stolen or used by an individual unauthorized to do so. Data breaches may involve financial information such as credit card or bank details, personal health information (PHI), Personally Identifiable Information (PII), internal communications, trade secrets of corporations or intellectual property.
Cyber Liability Insurance Facts
What creates cyber risk?
Internet connectivity
e-Commerce
Business websites and internet advertising
Customer forums and support/message boards
Credit card processing/online payment
Data storage, ISP, website design
Providing media content
Paper documents
Cyber Liability Insurance Coverage
Network Security & Privacy Liability - damages resulting from alleged violations of HIPAA and other privacy protection laws/regulations (state, federal or foreign), offering broad definitions of Personally Identifiable Information (PII) and Protected Health Information (PHI)
Security Event Costs - customer notification, fines/penalties, public relations expenses
Employee Privacy Liability - legal liability for breach of employees' PII or PHI
Electronic Media Liability - infringement of domain name, copyright, trade name, slogan, or service mark on the insured's website
Loss of Digital Assets - damage to or corruption of the insured's electronic data
Non-Physical Business Information - income reimbursement during period of restoration
Cyber Extortion threats and Cyber Terrorism
Cyber Loss Examples
Unauthorized Access
: An international computer hacking group gained access electronically to the computerized cash registers of a restaurant chain and stole credit card information of 5,000 customers, starting a flood of fraudulent purchases around the world.
Human Error
: An employee of a private high school mistakenly distributed via e-mail the names, social security numbers, birthdates and medical information of students and faculty creating a privacy breach. Overall, 1,250 individuals' information was compromised.
Security Event Costs
: A regional retailer contracted with a third party service provider. A burglar stole two laptops from the service provider containing the data of over 800,000 clients of the retailer. Under applicable notification laws, the retailer - not the service provider - was required to notify affected individuals. total expenses incurred for notification and crisis management to customers was nearly $5,000,000.
Cyber Liability Insurance Solutions
Policy limits up to $20M available for select risks
Target Classes: Professional Services, Religious Organizations, Private Schools, Insurance Agents, Non-profits, Hospitality, Retail, Manufacturers, Healthcare, and many more
Prohibited Classes: Gambling, Adult Content, Lottery, Colleges, Mortgage Lenders, Data Warehousing/Data Brokers, Municipalities, and Public School Districts
Complimentary access to eRisk Hub cyber risk management portal service@phly.com 855-411-0797
E&S Capabilities: If/when an insured needs modified wording or a risk falls outside of our filed and approved product offering, we are able to write Cyber business on Tokio Marine E&S paper.
Excess Cyber: We are now able to consider excess layers for Cyber coverage
Larger Risks: We are now able to consider Cyber risks whose annual revenues are in excess of $1B.