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Cyber Insurance is one of the fastest-growing coverages for small businesses in the United States.
Everyday, cyber criminals threaten the livelihood of small business owners everywhere.
To navigate the Cyber Insurance market, you need a Trusted Advisor that can guide you through the coverage options and risks!
Do A Google Search for “cyber insurance” and you will be bombarded with search results from LARGE insurance companies wanting to SELL YOU something.
We hope this Cyber Insurance Resource will help guide you to making the best decision for you and your small business.
What Does Cyber Insurance Cover?
Cyber Insurance is designed to protect Small Business from cyber criminals, ransomware attacks and much more.
While most small business owners believe they are “too small” to be a target of these criminals, statistics show that 55% of small and medium-sized businesses have suffered a data breach!
Most Cyber Liability Policies will cover the following:
- Legal Fees And Expenses
- Data Breach Response
- Costs To Recover Lost Or Compromised Data
- Extortion Costs | Ransomware Demands
- Loss Of Income
- Crisis Management
Do I Need Cyber Insurance?
Small Businesses across the world have shifted their business models to one that relies upon technology, data, and a remote workforce.
While these changes have brought about efficiency to many businesses, the changes have also increased the risk of cyber threats.
The question is not whether or not you will suffer a Cyber Attack, the real question becomes WHEN will I suffer a Cyber Attack.
Here are a few benefits of that Cyber Insurance can provide to your business:
- Data Breach Recovery
- Cyber Extortion Defense
- Loss Of Income Due To Business Interruption
How Much Does Cyber Insurance Cost?
The average cost of Cyber Insurance is approximately $1,500 a year!
While this insurance may seem high to many small business owners, to others that have experienced a Cyber Event this cost is a drop in the bucket opposed to the financial impact a Cyber Loss has a a business.
There are a number of factors that are involved with determining the actual insurance cost of the policies and include the following:
- The Business Industry
- The Types Of Data The Business Collects And Keeps
- Number Of Employees
- Number Of Customer Records
- Cyber Security Practices
- Limits Of Cyber Coverage
The Best Cyber Insurance Companies
Cyber Liability Insurance is a relatively new form is insurance for small businesses.
Given the ever changing cyber threats that exist, not every insurance company will provide this valuable business coverage.
While some carriers will include some Data Breach Coverage by endorsement to a Business Owners Insurance Policy, this coverage typically does not provide full coverage to the threats that exists.
The current Cyber Insurance Company landscape is dominated by the following companies:
- Chubb Insurance
- AXA XL Insurance
- AIG Insurance
- Travelers Insurance
- Beazley Insurance
- CNA Insurance
- Liberty Mutual
There are also new cyber insurance companies entering the market with Cyber Solutions that mix Cyber Insurance with Cyber Threat Management Services like:
- Coalition Insurance
- Cowbell Insurance