Target Corporation has been in the news lately as the most visible victim of cyber liability. Some 70 million customers debit and credit card information was compromised according to Business Insurance.com. Customer’s personal information, PIN information, and financial information was all surrendered in this massive data breach that has left the reputation of a trusted brand tarnished. As Target reels to pick up the pieces, it helps businesses to reflect and see if they are truly protected?
Many businesses think that it won’t happen to them. Yet, according to Verizon’s latest report, 63% of all breaches were at small businesses, and according to Visa, 95% of its credit card breaches are against its small business customers. In fact, you are twice more likely to have a data breach than to have a home fire. Yet, I bet all of us have homeowners insurance.
Peaked your interest yet? If your agent cannot demonstrate to you that they understand cyber liability, specifically, your cyber liability, please find one that can. If you have an uninsured cyber claim – are you going to tell your clients or your partners that cyber insurance is just too complicated and you could not be bothered to do the research to find a qualified agent? Cyber liability policies are stand-alone products in the sense that you don’t need to have other policies with that carrier to buy the cyber piece and you certainly don’t need to use your current agent.
Don’t look to your current policies to provide any cyber liability coverage. It is not going to be there. There may be some small amounts of cyber coverage in a crime policy but for the most part your General Liability, Directors and Officers and umbrella policies all exclude cyber liability.
With the New Year now upon us, your friends in the insurance business want all of you business owners and managers to make an important New Year’s resolution to speak to a qualified agent about cyber insurance. If you don’t have a knowledgeable agent to speak to – please call us. We are here to help you.