Top 6 Industries Most Needing Cyber Liability Insurance Coverage: You must have heard of a data breach and cyberattacks, right? There has been a growing occurrence of cyberattacks on various companies, especially in the United States of America, resulting in a loss of billions of dollars annually.
The truth is, all companies with job descriptions that affect data usage and handling can go unnoticed in the face of potential cyberattacks and data breaches.
Fortunately, there is insurance coverage that covers and protects companies from the adverse impact of a data breach. This insurance policy is called Cyber Liability Insurance Coverage.
What is cyber liability insurance?
Cyber liability insurance is an insurance policy that protects users of technology products and services. It was designed to provide coverage for liability and property losses that may arise as a business conducting online transactions or collecting data within the perimeter of the Internet.
Any company that is involved in any form of transaction that involves an internet connection or the handling of confidential and personal consumer data must obtain cyber liability insurance coverage, as such company will be the target of hackers and cyber criminals.
On average, a business in the United States loses $ 8.19 million due to data breaches. If your small business suffered a loss of this magnitude without insurance, would you survive? I bet the answer is no.
You can say that your business is small and your size will deter cybercriminals from attacking you. I hate to ruin your hopes, but your small business is the perfect arena for cyber data breaches.
In recent times, studies show that small businesses around the world have suffered more data breaches than large organizations and corporations.
So, if you were thinking about not getting cyber liability insurance because you have a small business, think again.
How much does cyber liability insurance cost?
After deciding to get a cyber liability insurance policy for your small business, the question that arises almost immediately is: how much does a cyber liability insurance policy cost?
Don’t worry, we’ve collected enough information to provide a credible answer to this question.
The cost of a cyber liability insurance policy depends on a number of underwriting factors that the insurance provider considers when reviewing your business and its potential risks.
The cost of cyber liability insurance depends on the following factors:
- Your type of business
- The type of data and information you work with.
- Implemented security system
- The amount of hardware or devices you work with.
- The number of transactions you make.
- Age of your business
- Annual income
Your insurance provider will take these factors into account. Deductions for these factors relative to your business will inform the insurance provider’s proposal for the form of cyber insurance that suits your business, taking into account any other preferences of yours.
Typically, the cost of cyber liability insurance for a small business is in the range of $ 750 to $ 8,000, depending on what your insurance provider proposes. Just keep that price range in mind when you get your cyber liability insurance quotes.
What does a cyber liability insurance policy cover?
Another question that would no doubt come up regarding how to get small business cyber liability insurance is, what does a cyber liability insurance policy cover?
If you’re still wondering if your business sector really needs cyber insurance, here is a list of what comprehensive cyber liability insurance will cover:
- Legal costs
- Regulatory agency fines
- Consumer loss
- Business interruption
- Direct financial loss
- Public relations to recover the tarnished brand image.
Industries Needing Cyber Liability Insurance Coverage
Lack of cyber insurance coverage is a huge risk. So if you’re wondering if your business needs cyber liability insurance and how it works, we’ve got a list of the business sectors that need it the most and how to get the best cyber insurance quotes in the US, UK, and Canada. and even Australia.
Below are the industries in dire need of cyber liability insurance coverage. If your business is in any of these industries, then as a top priority, get cyber liability insurance coverage today.
- Health care
- Insurance services
- Online stores / E-commerce
- Online service companies
- Technological services
- Financial services
Before marking your business safe from cyber attacks and data breaches, answer these questions: Is your business connected to the Internet? Do you collect your customer data in any way?
If the answer to any of these questions is yes, then you are not safe from hackers and cyber criminals.
All companies connected to the Internet are automatically at risk of a data breach or cyber attack, so it is not wise for that company to deal with the problem of obtaining cyber insurance informally, no matter how expensive it is. You can still get the best quotes.
Why do these business sectors need cyber liability insurance coverage?
Why is obtaining cyber liability insurance coverage so important to the above industries?
A shocking statistic ranks the healthcare industry as the top industry in the amount of data breach losses annually. The US healthcare sector is estimated to lose $ 6.2 billion due to data breaches.
Here are some of the reasons these industries need cyber liability insurance:
- As technological advances take place, cybercrime and criminals are gaining momentum.
- Customer data is subject to data breaches
- The loss that your business may suffer from a data breach can lead to the closure of your business.
- The legal fees for lawsuits filed by affected clients can be overwhelming
- Cost of an investigation after a data breach
- Commercial insurance coverage does not come with a cyber insurance provision
- Effective risk management
It is not known when your business may suffer a cyber attack. If your business collects and stores customer data, connects and operates from the Internet, and is within healthcare, online stores, online services, technology, insurance, and financial services, then it is in your best interest. obtain cyber liability insurance coverage. today. Contact an insurance broker and start the process.
In later articles, we’ll talk about the different insurance companies that have the best cyber insurance quotes.