Cyber Risk Insurance – Does Your Company Have The Right Plan In Place?

Cyber Risk Insurance – Does Your Company Have The Right Plan In Place?

LANSING – How does your company use technology in its day-to-day operations?  If you are like most, you buy and sell products or raw materials, intellectual property is stored on-line, you communicate with customers and vendors and promoting your business via social media are simply part of your day.  Unfortunately, each of these actions provides hackers, cyber criminals and others looking for information on your products or services and your customers with a gateway to your private information.

We know that each of you are in the “risk management” business.  Daily, you are identifying, evaluating, prioritizing and making decisions on where and how to spend limited resources including your time and your money.  Many are also transferring risk via an insurance policy that will provide a level of financial protection in the event of a loss.  This is done through various types of insurance including auto, fire, workers’ compensation, errors & omission, your business owners plan (BOP), etc.  Today, cyber risk insurance is becoming more and more popular, with a forecast to reach $7.5 billion in premiums by 2020.

According to PwC, roughly one-third of all companies in the United States purchase cyber risk insurance.  This number grows every day.  If you have thought about this or currently buy cyber-risk/cyber-liability insurance for your business, this article intends to help you examine what sets various policies apart from one another.  Many insurance carriers offer cyber coverage either as an extension to an existing policy or as a stand-alone policy.  Generally, the level of risk will dictate what is best for your business, the higher the risk, the more you should consider a stand-alone plan.

Because there are so many variables, we will set this up via a series of questions that you can then review with your insurance professional, check against your current plan, or look for in a plan you consider purchasing.  With that said, how does your plan cover? Click here to find out more.

By |2018-06-14T15:17:00+00:00June 14th, 2018|Cyber Defense, Small Business Association of Michigan|

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