Cyber Liability Insurance

In the modern world, it is clear that cyberspace is king. We store our documents in the cloud, connect via social media, and beam our photos around the globe. Cyberspace is also an integral aspect of business life, with many companies choosing to take their services online. Cyber liability insurance seeks to protect your business from internet-based threats.

The Lake Region Insurance Agency has the expertise to help you choose the right cyber liability policy for your needs. Even when your assets are virtual, they are valuable. Contact us for an insurance review to be sure you have the protection your business deserves.

What Is Cybercrime?

There are three primary forms of cybercrime which may impact your business:

• Malware – Malware allows malicious software to install itself in your systems. It often arrives via phishing scams or through vulnerable software. It allows hackers to steal data and spy on online activity.
• Ransomware – This threat attacks the computer system and encrypts your data. Then hackers demand a ransom in exchange for the restoration and return of data.
• Hacking – When hacking occurs, it allows outsiders to access computer systems and data.

How Does Cyber Liability Insurance Work?

This policy is necessary to protect your business from digital threats. Some plans may also refer to it as cyber insurance or cyber risk coverage. Standard inclusions are breaches of data or attacks from malicious hackers. 

Such events can be catastrophic for your business. If a cyberattack hits, it can destroy customer data, leak sensitive information, or prevent you from doing business as usual. Cyber Insurance offers peace of mind in the volatile online world.

What Can Cyber Liability Cover?

Cyber liability insurance can protect you from a range of possible issues, including:

• Costs of Cybercrime – Investigating online attacks is a specialized skill that can be very costly. Rather than having to scramble and re-adjust your budget to find funds when disaster strikes, you can rely on insurance to help cover the costs.
• Recover Lost Data – Coverage can also help you to recover any data you lose in a security breach. This protection can be the difference between your business recovering after a crisis, and going under.
• Loss of Income – A cyber attack has the potential to shut down your entire business. Any income loss from this situation could devastate your business, so having coverage is critical.
• Reputation Management – A large part of your business success comes down to maintaining a sterling reputation. Cybercrime can destroy this in an instant. But proper insurance coverage can bring you back to life.
• Extortion Payments – Demanding a ransom to unlock systems or return data is a common technique implemented by hackers. Insurance can help to cover these costs to keep your business in the black.
• Third-Party Lawsuits – If a third party brings claims against you due to cybercrime, your policy may include that, as well. This coverage can also include legal costs if you are involved with a GDPR breach.

Do I Need Cyber Liability Insurance?

Any business that uses a computer system is vulnerable to cybercrime. If you use, send, or store electronic data, cyber liability insurance should be a priority. The modern digital world all but demands it.

Here at Lake Region Insurance Agency, our independent agents are ready to serve you. We do not work for specific companies, so we can seek out the perfect policy or group of policies to protect you.

Call or stop by for a full insurance review with one of our insurance professionals. Add extra peace of mind to your business, and stay safe and secure in every area.