CYBER LIABILITY INSURANCE
Covering your business' privacy, data, and network exposures
What is cyber insurance?
A cyber insurance policy also referred to as “cyber risk insurance” or “cyber liability insurance”, covers your business’s liability in the event of a network security failure such as data breaches, malware, ransomware DDOS and other network attacks, and business account and email.
The coverage is designed to cover the expenses of liability claims and ancillary expenses of these attacks or breaches. The policy also provides your business with real-time access to cyber security specialists that can help you mitigate risk to your business by consulting you at the time of an event.
A data breach can also damage your business’ reputation and put your customers and employees at risk. That's why you should consider getting cyber insurance for your business, even if it is a small business.
What does cyber insurance cover?
Choco Insurance cyber protection and insurance include the following:
Active Cyberdefense and Inspection system
Legal fees and expenses arising from your business liability
Resources for managing the cyber event such as real-time specialists and customers notification system
Data restoration and recovery costs
Damaged computer software repair costs
Most states require companies to notify customers of a data breach involving personally identifiable information2– a process that can be very expensive. And even though most states don’t require companies to offer free credit monitoring following a breach, such a gesture goes a long way with public relations.
HOW TO BUY CYBER INSURANCE
Digital Agent will ask you to enter your business details and get covered in less than five minutes.
In most casees you'll receive an instant quote. If your case is complex, it may take a few more days.
GET A QUOTE
We’re 100% digital. It couldn’t be easier, or faster.
Your personal AI agent is available at your service 24/7, to help you with anything you need.
What is NOT Covered?
The policy will not cover if you are sued for any potential vulnerabilities in your systems before a breach occurs. Cyber insurance policies will usually not reimburse you for future profits lost due to a cyber-attack or data breach.
In addition, the policy does not cover losses indirectly caused by a data breach or cyber-attack. Also, a loss of intellectual property or damage to your brand driven by a data breach wouldn’t be covered.
If you fear losses due to theft of your intellectual property, you’ll have to look towards a specifically tailored intellectual property insurance policy. Additionally, allegations that the policy holder’s patents infringe upon a specific third party will also not be afforded coverage.
If an agent of a foreign country causes the breach, the coverage can be denied under the acts of war exclusion.
Additionally, the cost to improve your security and technology systems after an attack will not be included in most policies.
Why Do You Need Cyber Insurance?
The traditional business insurance policies usually exclude cyber risks so if you want to cover cybersecurity events you should buy cyber insurance as a “stand-alone” line of coverage.
Therefore, many insurance experts will argue that cyber insurance policies are still in their infancy. A lot of work needs to be done regarding standardizing coverage and making sure that insurance carriers can support the needs of modern businesses. Education is essential for companies to understand the threat of cyber attacks and the seriousness of these hazards.
How Much Does Cyber Insurance Cost?
The average cost of cyber insurance is $450 for each $250,000 in coverage. The price depends on your business's exposure to cyber risk and your coverage needs.
Other factors that can affect your rate include network security, data access, and claims history. Discover how these and other factors influence your cyber insurance cost.
Another factor that affects cyber insurance costs is your deductibles. A deductible is a fixed amount of money you’ll have to pay out-of-pocket each time your cyber insurance policy covers a loss. You can select the amount of your deductible when securing the coverage. The higher the deductible, your cyber policy price gets lower.