After my blog 2 weeks following my clients’ IT crisis I was delighted to get some advice from one our blog readers who runs an insurance company and knows a thing or two about this Cyber Risk malarkey.
Here’s what he had to say:
- Most commercial combined / office package / professional indemnity policies give no E-Risks or Cyber Risks cover at all
- There is no “standard” E-Risks or Cyber Risks policy – wordings vary enormously, some excellent, some offering very limited protection. Read the policy before buying; understand what you’re getting and what you have to do to make the policy work for you.
- The shorter proposal forms generally offer very limited coverage, requiring you to operate high standards of risk management. Those with the most questions typically offer the widest cover as a result of the answers on the form.
- Policies provide First Party protection, typically providing insurance for the costs of restoring lost or damaged data, damage to the network, business interruption, theft of money or securities and cyber extortion (such as that explained in last week’s blog)
- Policies can also provide cover for claims from third parties following a breach of privacy / personal data, breach of confidentiality, transmission of a virus, defamation, breach of IPR etc
- The best policies provide immediate access to forensic IT consultants who specialise in dealing with these issues on a daily basis. Many IT specialists would struggle to resolve the issues quickly and without causing further damage.
- Knowledge amongst insurance brokers varies enormously – use a specialist.
Ian is very happy to help if you’re worried your policy doesn’t give you the cover your business needs. Thank you so much Ian for taking the time to help us all understand this tricky area a little better.
You can get in touch with Ian here
Ian Lloyd ian.lloyd@rmib.co.uk (link sends e-mail)
Robertson-McIsaac Ltd
t: 0191 212 1234