AEGIS Cyber Risks Specialty
Cyber liability insurance from Gallagher lowers the pressure and keeps it flowing.
From your brand reputation to employee and financial data, cyber attacks are increasing in their frequency and their intensity. Couple that with the need to comply with regulations like the GDPR and it can seem overwhelming.
It doesn’t have to be. Our cyber liability insurance team is ready to customize the solutions that can keep your organization and all its information flowing smoother and safer.
Protection for a new class of cyber risks Assessing and understanding known and unknown risks within the cyber liability scope is complex. It requires expertise and an aggressive approach to understand how threats are emerging and how coverage can be evolved to protect your organization. Using ‘traditional’ insurance coverage as a benchmark, the cyber liability insurance and risk management team builds a stronghold of support to confront and protect against developing risks so you are fully prepared. We broker information security services and insurance products to combat and protect against the full spectrum of cyber risks.
Our cyber liability insurance practice process and strategies include: analysis of current cyber risk coverage gaps; identifying potential future gaps in coverage based on trends and expectations of carriers; matching exposures to these potential gaps and; designing risk management solutions.
Provides tailor made solutions for:
Maritime Cyber Risks
Cyber Legal Liability
Loss of Income
What is Cyber Insurance?
Cyber insurance typically covers expenses related to first parties as well as claims by third parties. Although there is no standard for underwriting these policies, the following are common reimbursable expenses:
A forensics investigation is necessary to determine what occurred, how to repair damage and how to prevent the same type of breach from occurring in the future. Investigations may involve the services of a third-party security firm, as well as coordination with law enforcement and the FBI.
A cyber insurance policy may include similar items that are covered by an errors & omissions policy (errors due to negligence and other reasons), as well as monetary losses experienced by network downtime, business interruption, data loss recovery and costs involved in managing a crisis, which may involve repairing reputation damage.
Privacy and notification: This includes required data breach notifications to customers and other affected parties, which are mandated by law in many jurisdictions, and credit monitoring for customers whose information was or may have been breached.
Lawsuits and extortion:
This includes legal expenses associated with the release of confidential information and intellectual property, legal settlements and regulatory fines. This may also include the costs of cyber extortion, such as from ransomware.
What Level of Cyber Insurance is right for my business?
Predictions that global Cyber Insurance premiums will more than double in the next three years has caused an explosion of choice for buyers. For example, just within the Lloyd’s insurance market there are now 77 cyber risk insurers.
Despite the first Cyber Insurance policies appearing in the late 90s, the product is still in the embryonic stage of development and evolving all the time. Policy coverage can be grouped into common categories (see table below), but the scope and cover options can vary widely among different insurers:
Aegis Coverages First & Third Party
First Party Loss or Damage
- Data & Software -The cost to reconstitute data or software that has been deleted or corrupted.
- Intellectual Property-IP loss of value based on a reduction in revenue and market share.
- Incident investigation and response costs.
Cost to investigate incidents and minimise the cost a cyber attack.
Business Interruption and Increased Costs
- Lost profits or extra expenses incurred due to the unavailability of IT systems or data as a result of IT failures, including those resulting from cyber attacks.
- Loss of revenues which can be directly attributed to a security breach event, for example, loss of specific contracts or customers, or reduced transaction volumes.
- Additional expenses incurred to restore data, the network or IT systems.
Cybercrime or Cyber fraud
Third Party Liability
PCI DSS Assessments and Fines
Aegis Risk Management can help protect your business
Financial Services insurance and risk specialists, like Protean Risk, can feed information in this assessment by sharing peer knowledge and experience, including types and levels of cover similar firms purchase.
Without a doubt, insurance has a key role to play in building cyber resilience, but this is just one tool that forms part of a comprehensive strategy.
Small, medium and large Financial Services firms need to find their own balance between cyber risk management, security investments and securing insurance suitable to the unique needs of their sector and organisation.
Contact us today to find out how we can help your business with Cyber Insurance.