CYBER INSURANCE
Sooner or later it will happen…
Imagine turning on your computer one morning only to discover that it has been locked down, because someone overnight infiltrated it accessing all the confidential data belonging to your company and clients. How would you get out of this situation?
The avenues of the internet are full of increasing, hidden threats, lurking; aiming for illegal profit and the power that useful information of competitors brings. The cost of a hack to a company, has multiple effects. Just how many bitcoins will you be blackmailed into paying? How will you compensate the data leak of your company, the possible claims by your clients of whom confidential information has been stolen, the financial cost caused by the interruption of your business? How are you to redeem your lost valuable data and restore your good reputation in the marketplace? We’ve got your back covered, for all the domino effect ramifications of this type of blackmail.
There are two types of companies: those that have been hacked, and those who don’t know they have been hacked”
-John Chambers, Former CISCO CEO
Who needs Cyber Insurance?
Generally, anyone who possesses, uses, handles and depends upon electronic data and information.
- IT companies
- Web hosting companies
- Investment companies (locking down of the data of clients and accounts)
- Telephone and internet providers (locking down of the data of clients and statements of accounts)
- Corporate services companies (clients’ data)
- Clinics storing medical records containing confidential data, including the social insurance numbers of patients.
- Accountants (clients’ tax data)
- Lawyers (legal data and cases)
- Doctors (confidential data of patients)
- Architects (clients’ plans)
- Engineers (project studies/surveys)
- Food delivery (clients’ data and addresses)
- Municipalities (residents’ data)
- Commercial companies (account balances of clients)
- Financial institutions (accounts data, names, addresses and other financial data)
Cyber Risks
- Loss of information from computers
- Leak of personal client data or access to confidential and data important to the company
- Hacking of the system by former employees, competitors or third parties
- Theft of the company’s clients’ information
- Theft of the company’s clientele
- Destruction of the company’s electronic system
- Threats posed to cloud computing
What does CYBER INSURANCE cover?
1. Management of Financial Ramifications
Claims for compensation and the costs incurred by:
-The breach of personal data
– Theft of hardware containing personal data
– Recollection and recreation of electronic data
– Damaging effects of electronic data by viruses
– Publishing to the general public of information regarding any employee involved in the breach
– Loss of personal or company information (clientele, budget, accounts, etc.)
2. Crisis Management
– Safeguarding and rebuilding your company’s reputation following a cyber breach, to mitigate the potentially adverse effects of a newsworthy cyber event.
-Management of potential damage to any individual’s reputation in the company.
-Notification of clients and monitoring of their credit file, if their data, bank account or credit card has been affected by a breach.
3. Ransom to hackers
Ransom payment to the hackers.
4. Network Interruption
The loss of net profit because of a material interruption of the company’s network, as a result of a security breach.
Examples from Cyprus
1. Towards the end of 2016, hackers attacked systems of companies in Cyprus demanding bitcoin ransom. Among the victims were two major electronics companies “Stephanis” and “Bionic”. Following negotiations, “Stephanis” paid 13 bitcoins approximately equal to €10.000. Shortly after “Bionic’s” system was invaded by the Ransom_LOCKY TQZ virus. Though the company had its records backed-up, recovering the data was deemed to be too time consuming and expensive, so it ended up paying 3.5 bitcoins (around €3.000).
2. 3-9/5/2017. Cabelnet’s subscribers will have the right to claim compensation, in compliance with the new Open Internet European Regulations. A hacker who was not even an expert got hold of an underground, easy to access, malicious software causing the company’s network to collapse, which resulted in the interruption of business of the internet, phone & TV services provider.
Examples from global companies
1. LinkedIn: June 2012: The passwords of 6.4 million users were stolen. As a result, many professionals and companies lost their trust in LinkedIn.
2. Sony Playstation: 2.000.000 users who purchased electronic games from the company’s website had their passwords, personal data and credit card details stolen worldwide.
Clarification
The information above may vary from Insurance Company to Insurance Company. Depending on the Insurance plan we will propose, we will give you all the relevant information required by the legislation so you can make your decision. Ask us today for an offer and, we will choose the most suitable package for your needs and budget.
