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Cyber Liability

Specialty Lines Information Security & Privacy Insurance

The insurance provides coverage for third party claims arising from security breaches and failure to comply with privacy policies, as well as optional first party coverage for data protection and network business interruption losses.

Information Security & Privacy Liability

  • Legal liability coverage for theft, loss, or unauthorized disclosure of personally identifiable non-public information or third party corporate information that is in the care, custody or control of the insured organization, or an independent contractor that is holding, processing or transferring such information on behalf of the insured Legal liability arising from failure to comply with state breach notice laws.
  • Coverage for failure to comply with the insured’s privacy policies as well as failure to administer an identity theft prevention program required by governmental regulation.

Privacy Notification Costs

  • Coverage for the costs to provide notification in compliance with a breach notice law, including fees charged by an attorney to determine the applicability of and actions necessary to comply with breach notice laws. Includes the cost of a credit file monitoring program (subject to 20% co-insurance).
  • Coverage for the costs to hire a computer security expert to determine the existence and cause of a security breach.

Regulatory Defense and Penalties

  • Coverage for the cost to defend a regulatory proceeding resulting from violations of privacy laws caused by the otherwise covered theft, loss, or unauthorized disclosure of personally identifiable non-public or third party corporate information.

Electronic Media Liability

  • Covers display of electronic content on the insured’s website.

Cyber Extortion and First Party Computer Security Coverages

  • Available by endorsement.

Key policy features

  • No “Computer Safeguards” exclusion.
  • Regulatory defense coverage is provided on a “duty to defend” basis.
  • Coverage for regulatory penalties (to the extent allowable by law).
  • 50-50 settlement clause that applies to both additional claims expenses as well as damages.
  • Bilateral extended reporting period.
  • Restricted fraudulent/criminal acts exclusion with severability provision.

Limits

  • Up to US $20,000,000.

Coverages and exclusions differ by carrier and by state. Specific concerns can be discussed with an underwriter.

800.635.4742, Ext.8302

submissions@myronsteves.com