There is no legal requirement to insure your cyber risks from a data breach. However, in 2018 new EU regulations are coming into force, with tougher fines and requirements to act and respond to a data breach. Having proper Cyber Liability insurance in place will help you when you need it.
Dinghy Cyber Liability insurance covers two main areas:
- we extend your Professional Indemnity insurance to cover any negligence claims that are brought against you for losing customer data
- We provide a 24/7 breach response service, handled by our market leading insurers Beazley, who will react to close down the breach and secure your data
The costs and time involved in the breach response quickly add up. From having to notify everyone affected, respond to their questions and even pay regulatory fines - all of these are covered by your cyber insurance, up to the limit of insurance provided.
So in a nutshell, if you hold customer data, then you should buy Cyber Liability insurance.