Survey Indicates Cyber Liability Up 85% in 5 Years
Posted on: October 31, 2016 by Signature Insurance Group
It should come as no surprise that many businesses are acknowledging their risks in terms of cyber-attacks and getting on board with cyber liability insurance protection. At a New York City conference hosted by survey creators Zurich North America and Advisen, the results proved that OC Cyber Liability Insurance policies have increased by 85 percent since 2011. However, it appears the trend has slowed for 2016. As we look at the industry trend, ensure your operation is protected and your policy is up to date.
According to the survey results, the overall upward trend of organizations purchasing what it describes as network security and privacy “cyber” insurance continued in 2016. The proportion of companies buying security and privacy insurance has increased by 85 percent, from 35 percent of companies purchasing coverage in 2011 to 65 percent in 2016. Survey results, however, appear to indicate that the market is slowing — up only 7 percent from 2015 compared with an 18 percent increase in 2014, says Property Casualty 360.
Further, businesses that rely on obtaining personal identifiable information are more at risk for experiencing a breach. These include, but are not limited to, finance, communications, healthcare, banks, and retail, to name a few. These industries have identified their risks and understand they are more prone to breaches.
In addition, IT teams are no longer solely responsible for ensuring the business is protected against cyber threats. Instead, this liability has been shifted to general counsel. Lastly, the immense fees that are associated with cyber breaches were noted as the number one reason for companies to purchase cyber liability insurance.
At Signature Insurance Group we know how devastating cyber-attacks can be. Having a good cyber liability plan can help cover the costs of cyber-attacks including, loss of profit, customer reimbursement, security overhauls and more. Call us today for more information on how we can help you get the coverage you need. 855.972.9437