Time for the insurance industry to cover cyber liability

There is an increased activity in claims centered around cyber liability. The insurance industry has been slow to react to this risk as insurance products for this coverage are still in their infancy. Sony was the first really big profile claim and their insurer is denying coverage. However small business is being targeted also and there are few coverage forms that can be purchased to cover the claims. The industry needs to really put some effort in  making this coverage more readily available and affordable. As agents we are stuck telling our clients about a high frequency, high severity risk and are not able to get the coverage forms to cover their exposures at a reasonable price. sure there are endorsements that give a little coverage, 10K here and 20K there, but the risk to small business owners that conduct sales with computers and credit card machines makes them highly vulnerable. In addition the data bases they use for marketing and customer info is at risk on their servers. Come on insurance companies give us some products on this already !!  Until next time be careful out there and know your risks.  k

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