Is cyber risk coverage really something that should be included in your insurance policy? This is a big question many business owners ask themselves. The problem is, if they don’t ask this question in time, they risk serious financial consequences as a result of a cyber breach.
Unfortunately, with so many data breaches and cyber attacks over the last year, it’s more important to ask this question than ever.
Reasons Your Business Needs Cyber Coverage
Here are five big reasons your business needs cyber coverage:
- Media liability: This type of cyber risk coverage helps you in the event a data breach leads to intellectual property infringement. It includes things such as online advertising and printed advertising.
- Privacy: Your customer’s and employee’s information is sensitive information! If that information is to become exposed in a data breach you could be the one liable. This type of coverage will protect you in this type of situation.
- Network security: If your network security is to fail and something like a malware infection, data breach or cyber extortion is to happen, you could be on the hook. This would cover the costs of things such as credit monitoring or legal expenses.
- Business interruption: Your business could experience operational issues in the event a cyber threat takes place. This coverage can help you with any lost profits.
- Errors and omissions: It’s possible that a cyber attack could prevent your business from fulfilling any contractual operations, which this type of coverage helps you with! It would take care of any of the allegations of negligence or legal defense costs that could come about.
Still have questions about cyber risk coverage? Get in contact with the team at Fargo Moorhead Insurance today to get the answers you’re looking for! We are commercial insurance brokers in North Dakota and Minnesota offering competitive commercial insurance rates while keeping your primary business coverage needs in mind.
If you want to learn even more about cyber risk coverage, here are three more posts to read next: