Regardless of your business size, Cyber Insurance is a critical business cover to have in place due to the increasing attacks on IT systems by hackers and fraudsters. In this modern age, all businesses rely on IT systems to manage multiple business processes. Whether that is payroll, accounts, manufacturing processes, customer, or supplier data etc. All of which, is attractive to online fraudsters.
Why do I need Cyber Insurance?
It is well documented that many large organisations have fallen victim to cyber-attacks, in 2017, the NHS was disrupted for several days as the result of cyber criminals. However, it should be noted that small businesses are more likely to be targeted due to weak or in many cases, NO system protection at all.
Data theft, ransomware and data breaches are in the main a result of human error, lack of training or poor or inadequate system protection.
With individual businesses being responsible for their own cyber security, taking out a cyber insurance policy gives you a much-needed added level of protection.
Every business responsible for personal data must follow the Data Protection Act of 2018, the UK’s implementation of the General Data Protection Regulation (GDPR). Breaches of the Act can lead to fines of up to £17.5 million or 4% of annual turnover.
The National Cyber Security Centre (NCSC) is a good resource to help you evaluate your current processes and systems.
What does Cyber Insurance cover?
Most policies will cover both first- and third-party financial costs which include investigations, recovery of data, restoration of systems, damages and settlements, and loss of third-party data. It also covers legal defense against claims, which can also include privacy investigations launched by a regulator or governmental department. Some policies offer support with income loss if temporary closure is required, which is known as cyber business interruption insurance. Some insurers also cover defamation claims and crime costs.
How much does Cyber Insurance cost?
Like many policies, cost of Cyber Insurance varies from business to business and is dependent on:
- The industry you are in
- Your annual revenue
- Types of data held
- Network security levels
Industries more prone to cyber-attacks include Charities, Financial Services, and Healthcare, whilst Hospitality and other sectors that primarily conduct business in person, are less likely to be targeted.
Why Choose Konsileo for your Cyber Insurance?
Our Brokers have years of experience dealing with a wide variety of businesses and their unique Cyber needs. Our access to a multitude of markets and products means that we can tailor policies for each individual business, regardless of size or sector.
We will protect your business, properly.
We insure a great deal of industries.
Looking for insurance for a specific industry?
Take a look at all the industry sectors we serve below.