Cyber insurance is a type of insurance that transfers a policyholder’s financial liability and losses arising out of cybersecurity and privacy events such as:

·         cyberattacks;

·         data breaches;

·         regulatory violations;

·         cyber theft.

What does a Cyber Insurance policy provide?

Cyber insurance mainly covers core first party and third party insuring agreements.

First-party cyber insurance, which covers the costs associated with investigating and responding to a cyber event and the financial impact of on an organization’s business operations.

 First-party insuring agreements include, but not limited to the followings:

·         Privacy Breach Notification and Mitigation Costs;

·         System and Data Rectification Costs;

·         Business Interruption;

·         Extortion Costs (including Ransomware);

·         Cyber Theft;

Third-party cyber liability insurance, which provides the organization with financial indemnity as a result of claim for damages as a result of a cyber event.

 Third-party cyber liability insurance includes, but not limited to the followings:

·         Network Security Incident;

·         Electronic Data Breach Incident;

·         E-Media Incident.