What is cyber attack insurance and do I need it?

What is cyber attack insurance and do I need it?

Cyber attack insurance, also known as cyber liability insurance, helps protect businesses from financial losses due to cyber incidents. It covers costs like data breaches, business interruption, and legal fees. Whether you need it depends on your business size, industry, and the amount of sensitive data you handle.

What types of incidents does it cover?

It typically covers data breaches, ransomware attacks, business interruption, cyber extortion, and legal fees related to privacy violations.

How much does cyber attack insurance cost?

The cost varies widely based on factors like your business size, industry, and coverage limits. On average, small businesses might pay between $1,000 to $7,500 annually.

Is it worth getting this insurance?

Yes, especially if your business handles sensitive data or relies heavily on technology. The financial protection can be crucial in the event of a cyber incident.

How can I choose the right policy?

Consider factors like your business size, industry risks, coverage limits, and the insurer's reputation. Consulting with an insurance broker can also help you find the best fit.