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Odessa, TX. Why you need cyber insurance

Why You Need Cyber Insurance

The cost of a cyber event may be significant;
even for a very small business.
According to netDiligence, a leading cyber-security information service, the average cost of a cyber event for a nano-revenue sized firm exceeded $125,000.
The 2017 netDiligence claims survey also found that professional services firms are particularly exposed to wire transfer fraud. According to netDiligence, 30% of reported wire transfer fraud claims were associated with professional service firms. netDiligence found that the costs surveyed wire transfer fraud incidents ranged from $3,500 to $867,000.
Existing insurance is not enough.
Traditional insurance policies weren’t designed for these
types of risks. While your traditional insurance program might
(or might not) assist you with some aspects of cyber loss event, such traditional policies will not provide coverage for significant portions of such an event. Losses not covered by traditional insurance program often include:
• Cyber incident response costs: such costs include fees to retain the services of a computer security forensic specialists to investigate an actual or suspected event, the cost to expenses to notify clients (often required by law), as well as legal costs to fully understand your firm’s legal and professional obligations.
• Loss of revenues and extra expenses incurred to maintain operations after a cyber event.
• Ransomware expenses: the cost of a ransom or costs incurred to recover data without paying a ransom.
• A loss of your firm’s assets resulting from social engineering fraud events. This might include:
Cyber insurance from Crum & Forster is designed to wrap around your existing insurance program in order to better protect you from these modern risks.