Cyber Policy Flashcards
What are the common cyber exposures faced by businesses?
Collection of private information
Data storage
Websites and social media
Credit card transactions
The Internet of Things
Regulation
What are the limitations of traditional policies that make cyber insurance necessary?
Electronic data is excluded in a GL policy
Property policies limit coverage to specific perils and limit coverage
Computer and Funds Transfer Fraud isn’t broad enough
D&O policies only cover the individuals that lead an entity, not the entity itself
What first party coverages are offered in a traditional cyber policy?
BI and EE
Cyber theft loss
Cyber communications loss
Cyber Vandalism expenses
Notification expenses
Crisis management
Consequential reputational harm loss
Social Engineering
When is a cyber claim considered to be “discovered”?
When ANY insured becomes aware of the facts which would cause a reasonable person to assume a cyber incident has occurred.
What is a “liability loss” related to cyber insurance?
A liability loss awards compensation to the claimant for punitive damages from a third party that an insured becomes liable for.
What are the first party exposures covered on a cyber policy?
Forensic analysis
Business Income
Website Vandalism
Notification costs
Ransomware and Cyber extortion
Denial of service attacks
Repairing or restoring data
Negative publicity
PCIDSS
What are the third party exposures covered by a cyber insurance policy?
Infected emails
Infected websites
Wrong recipient
Infringement issues
Regulatory issues
