Cyber Insurance – are you completely covered?
With the issue of Cyber Security amidst and gaining a lot of exposure, it is important that you ensure you are not exposed. Cyber fraud presents two risks, and it is important that your insurance covers both of these insurable risks.
These risks include the following:
- First party insurance (also often referred to as Cyber Insurance). This insurance policy ensures that you, the bookkeeper, are personally covered for costs, in the case of a cyber-attack, for the use of IT professionals, replacement hardware/ software, notifications to the OAIC, loss of profits during the interim of which your business is not able to effectively run as a result of a cyber-attack, and more.
- Third party insurance (commonly covered in your PI insurance policy). This includes losses suffered by you for legal costs and negligence style claims as a consequence of your data breach, resulting in losses to your clients and any other associated people (such as employees of clients).
If you are unsure whether you are properly covered for any cyber hazard, contact your insurance provider for more information.