What is Cyber Liability Insurance?
With a series of high profile cyber breaches reported in the news such as Tesco Bank, Sony and TalkTalk, it’s no wonder that organisations have growing concerns about the adequacy of their cyber protection. It isn’t just financial conglomerates or large corporations who face cyber risk however, SME’s are also vulnerable.
Plus with the introduction of the EU General Data Protection Regulation (GDPR) in 2018, organisations will face fines of up to 4% of annual global turnover, or €20m, whichever is greater, if they fail to secure their data properly.
Recent studies show an attack on your computer systems or a breach of your cloud data is no longer just a possibility – it will happen. Currently, the UK has the second highest rate of cyber incidents, lagging just behind the USA. The UK Government 2015 IS Breach Survey found that 90% of large businesses and 74% of small businesses had a security breach in 2015. So if your organisation doesn’t currently have a cyber insurance policy in place, now is the time to review your cyber coverage.
Protection is available however; the UK cyber liability insurance market is developing in accordance to the level of risk – from the early days of a handful of Technology Professional Indemnity insurers writing cyber, we now have more than 30 cyber insurers in the London market, with capacity now available for £100m limits. Within Arthur J. Gallagher we have a specialist cyber team with extensive knowledge and experience of negotiating and placing both UK and US domiciled risks.
Our Cyber Insurance Summary outlines the core elements of cyber insurance and highlights how coverage can help protect your business from financial and reputational damage in the event of a cyber incident as well as providing a snapshot of the current cyber risk landscape.
Download the Cyber Insurance Summary document here.