Cyber Insurance (also called Cyber Liability Insurance) is a policy that helps businesses recover from cyberattacks, data breaches, and other cyber-related risks. It covers financial losses, legal fees, and recovery costs associated with cyber incidents.
What Does Cyber Insurance Cover?
🔹 First-Party Coverage (Direct Losses to Your Business):
✔ Data Breach Response – Notifies affected customers & provides credit monitoring.
✔ Cyber Extortion (Ransomware) – Covers costs to respond to ransom demands.
✔ Business Interruption – Pays for lost income if a cyberattack disrupts operations.
✔ Digital Forensics & Crisis Management – Helps investigate and recover lost data.
🔹 Third-Party Coverage (Lawsuits & Regulatory Fines):
✔ Legal Fees – Covers lawsuits from customers or regulatory investigations.
✔ Regulatory Fines & Penalties – Helps with GDPR, HIPAA, or other compliance violations.
✔ Media Liability – Protects against defamation or copyright issues online.
Who Needs Cyber Insurance?
💻 Any business handling sensitive data, such as:
Retail & E-commerce (customer credit card info)
Healthcare & Law Firms (HIPAA compliance)
Financial Services (banking & investments)
Tech & SaaS Companies (handling user data)