With the reality of cyber-attacks and the spread of ransomware now happening at unprecedented levels should you add Cyber insurance to boost your cybersecurity protection? It’s something you should at least consider.
Transferring some of the risks of from a cyber-attack could be a smart move, and could reduce your monetary exposure if you are impacted. Most insurance companies offering the coverage will also provide you with experts to assist you in the event you are impacted, such as a breach coach, forensic specialists, and other experts.
Generally speaking, in today’s business environment the right question isn’t whether you should get cyber insurance, but rather, what is the right type of cyber insurance for your company?
First, make certain you find the right expert to help and assist you with selecting the right policy.
Then be certain to ask the right questions to help select the correct policy for you at the right coverage amount. Recently a law firm was impacted by ransomware in a major way causing a loss of $700,000 in billable hours due to their attorneys not being able to work. Their insurance only covered maximum loss of $20,000. They paid more than $25,000 in ransom fees.
Here are some questions you should ask your insurer or insurance expert about cyber insurance:
- What threats are covered?
- What threats and other items are excluded from this coverage?
- What is the extra cost (quote) if we add in an excluded item?
- Does this coverage provide coverage for loss of income?
- Does it cover a loss of use?
- What is the maximum amount overall and per incident?
- Does it cover attorney fees and/or a breach coach?
- Will you provide other experts?
- Does the cost of these experts come from you or are they paid as part of the policy coverage amounts?
- Does it cover the cost of breach notification and is that separate or part of that same coverage?
- Do you assist with any proactive or improvement benefits to cyber risk profile? Such as cyber risk assessment, penetration testing, control policies, etc.
- Is there anything we haven’t asked that you think we should or that we need to know regarding this policy?
In addition to insurance, you may want to check out these additional tips.