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Home > Blog > Awareness of the potential cyber liabilities is essential to managing risk
FRIDAY, NOVEMBER 18, 2016

Awareness of the potential cyber liabilities is essential to managing risk

As technology becomes increasingly important for successful business operations, the value of a strong 
cyber liability insurance policy will only continue to grow. The continued rise of information stored 
and transferred electronically has resulted in a remarkable increase in the potential exposures facing
businesses. In an age where a stolen laptop or hacked account can instantly compromise the personal
data of thousands of customers, or an ill-advised post on a social media site can be read by hundreds 
in a matter of minutes, protecting yourself from cyber liability is just as important as some of the more 
traditional exposures businesses account for in their general commercial liability policies. 

Possible exposures covered by a cyber liability policy

*Data breaches= Data lost to unauthorized employee access or hardware theft. 

*Intellectual property rights= Includes libel, copyright or trademark infringement and defamation, among other things. 

*Damages to a third- party system= Any technical loss a third party sustains. 

*System failure= Natural disaster, malicious activity, or fire could cause physical damage which would be covered
on your usual liability contract. But the data or code loss due to the incident would not be. 
Posted 11:10 AM

Tags: cyber liability
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