Businesses have been expanding at a rapid rate due to significant advancements in technology. At the same time, a lot of their information has become easily available online, and hence, more susceptible to security breaches. Cybercriminals are continuously being paid hefty amounts to conduct these breaches and it can be safely assumed that none of us have a fool-proof guard against cyberattacks. To that end, having a cyber-insurance plan can protect organisations from incurring immense losses and expenses as well as regulatory penalties, in case of a security threat.
- What is Cyber Liability Insurance?
Unlike most business policies, a CLIC (or Cyber Liability Insurance Cover) covers the losses that a business incurs due to hacking and phishing. In most cases, data such as names of customers or employees, their personal details and data related to key business areas are prime targets of hackers. CLIC ensures that these aspects are covered by your cyber insurance policy. If by any chance your system suffers a crash, due to a security breach or a virus, or an employee’s attempt to disclose vulnerable information – CLIC is the best possible way to remedy it! Copyright infringement, defamation and other divulged information can be put under the recovery policy; even PR costs that are incurred during damage recovery are covered by this policy.
Some of the details of expenses covered include:
- Business Losses
- Privacy & Notification
- Lawsuits & Extortion
- How Does Cyber Liability Insurance Work?
Various factors determine the amount of premium that you need to pay for your cyber insurance policy. The premium amount varies from one industry to another and the services that they provide. The types of vulnerable data (such as personal details, classified information of clients and contact numbers of the same), potential risks and exposures, etc. are something that need to be taken into consideration when deciding your premium amount. The cyber insurance agent discusses and details out the risk that’s involved and comes up with the best plan that is customized according to your needs and objectives. This ensures adequate network protection and damage control in terms of recovery of data.
Details of key factors when deciding your premium:
Now more than ever, India needs to invest in cyber liability insurance coverage due to the vast amount of transactions and dealings that are done online. Cyber security is of key importance! Hence, without any further ado, get your cyber insurance policy in place and stay covered!