Cyber Coverage for Your Business 

Modern technology presents many opportunities, but responsible businesses must also be aware of how such implementations may affect their risk management and loss control needs. Conducting more business online and investing in digital solutions can vastly change your business’s risk profile, often necessitating additional insurance.

What Is Cyber Insurance?

Also known as cybersecurity insurance and cyber liability insurance, these policies can have a profound impact on the aftermath of digital incidents, potentially helping curb losses that might otherwise prove catastrophic. Much like how other insurance policies might help manage repair costs or revenue losses due to fires or other tangible incidents, cyber insurance can offset losses involving cyberattacks and data breaches.

What Can My Coverage Assist With?

A cyber liability insurance policy may cast a versatile and essential financial safety net to help your business recover from various incidents, such as phishing attacks and malware infections. Specifically, you can often file a claim and receive financial assistance for the following:

• Incident investigation costs, such as hiring digital forensics professionals to identify the cause of a breach
• Breach notification expenses, including the costs of letting other parties know their data may have been compromised
• Business interruption losses, such as reduced revenue if you have to shut down networks or delay operations
• Reputational rehabilitation needs, including hiring a public relations firm to help your business maintain the public’s trust
• Legal costs, such as for attorneys, settlements and judgments, should affected parties sue your business

Who Needs Cyber Coverage?

In the digital era, many businesses should consider cyber insurance to be a top priority. Coverage can be particularly critical for small- and medium-sized businesses, which have become more frequent targets of cybercriminals while often lacking the financial resources of larger enterprises. Additionally, those that work with sensitive data, such as Social Security numbers, health records and banking information, might find significant value in a suitable policy.

We’re Here to Help

Contact Lone Star Insurance Agency today to discuss cyber coverage and find the right insurance policy for your business’s needs.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.