In recent years, organizations of all sizes and sectors have become increasingly reliant on workplace technology and digital systems to conduct their operations. Nevertheless, utilizing such technology carries additional exposures and liabilities. That’s why it’s crucial to secure adequate cyber coverage.
Having a cyber insurance policy in place can provide protection against financial losses that may result from a range of cyber incidents, including data breaches, ransomware attacks and phishing scams. Especially as these kinds of incidents continue to surge in both cost and frequency, organizations simply can’t afford to ignore the importance of cyber coverage.
Specific cyber insurance offerings differ between carriers. Furthermore, organizations’ coverage needs may vary based on their particular exposures. In any case, cyber insurance agreements typically fall into two categories—first-party coverage and third-party coverage. It’s best for policyholders to have a clear understanding of both categories of coverage in order to comprehend the key protections offered by their cyber insurance. This article outlines the primary components of a cyber insurance policy.