{"id":2030,"date":"2011-06-15T20:05:30","date_gmt":"2011-06-16T00:05:30","guid":{"rendered":"http:\/\/rbach.net\/blog\/?p=2030"},"modified":"2021-08-08T17:30:59","modified_gmt":"2021-08-08T21:30:59","slug":"investigating-internet-liability-insurance","status":"publish","type":"post","link":"https:\/\/rbach.net\/index.php\/investigating-internet-liability-insurance\/","title":{"rendered":"Investigating Internet Liability Insurance"},"content":{"rendered":"<p><a href=\"http:\/\/scholarshipopportunity.org\/category\/scholarship_tips\/\" target=\"_blank\" rel=\"noopener noreferrer\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"alignleft wp-image-94282\" title=\"Investigating Internet Liability Insurance\" src=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/Read-the-Fine-Print.jpg?resize=144%2C94&#038;ssl=1\" alt=\"Investigating Internet Liability Insurance\" width=\"144\" height=\"94\" srcset=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/Read-the-Fine-Print.jpg?resize=150%2C98&amp;ssl=1 150w, https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/Read-the-Fine-Print.jpg?resize=75%2C49&amp;ssl=1 75w, https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/Read-the-Fine-Print.jpg?w=386&amp;ssl=1 386w\" sizes=\"auto, (max-width: 144px) 100vw, 144px\" \/><\/a>Enterprises now face the question of determining the right kinds of cyber insurance to buy in addition to the other traditional insurance that covers the risk of doing business. <em>Internet Evolution<\/em> asks, &#8220;<em>What would you pay to be insured against data loss or theft<\/em>&#8220;? While cyber insurance of all kinds has been around for a while, more firms than ever are seriously considering it, as <a title=\"www.csmonitor.com\" href=\"http:\/\/www.csmonitor.com\/Business\/2011\/0503\/Sony-data-breach-could-be-most-expensive-ever\" target=\"_blank\" rel=\"noopener noreferrer\">data breaches<\/a>, <a title=\"krebsonsecurity.com\" href=\"http:\/\/krebsonsecurity.com\/category\/web-fraud-2-0\/\" target=\"_blank\" rel=\"noopener noreferrer\">Web fraud<\/a>, and <a title=\"Computer security\" href=\"http:\/\/en.wikipedia.org\/wiki\/Computer_security\" target=\"_blank\" rel=\"noopener wikipedia noreferrer\">security breaches<\/a> <a title=\"www.scmagazineus.com\" href=\"https:\/\/www.usatoday.com\/story\/news\/nation\/2019\/06\/06\/quest-diagnostics-data-breach-leaves-patients-vulnerable-fraud\/1356069001\/\" target=\"_blank\" rel=\"noopener noreferrer\">continue to make headlines<\/a>.<\/p>\n<p><a href=\"https:\/\/www.chubb.com\/us-en\/business-insurance\/Cyber-Products.aspx\" target=\"_blank\" rel=\"noopener noreferrer\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"alignright wp-image-7721 size-full\" style=\"border: 0pt none; margin-left: 3px; margin-right: 3px;\" title=\"chubb_logo\" src=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/2011\/05\/chubb_logo-e1561758507726.jpg?resize=88%2C74&#038;ssl=1\" alt=\"chubb_logo\" width=\"88\" height=\"74\" \/><\/a>Tracey Vispoli, global financial fidelity manager for <a title=\"Chubb\" href=\"http:\/\/www.chubb.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">Chubb<\/a>, told <em>Internet Evolution<\/em>, \u201c<em>Although I would still characterize business interest in cyber insurance as emerging, we saw a 40 percent growth in firms securing some form of Internet liability insurance in 2009.<\/em>\u201d Chubb provides Internet liability and other insurance coverage for businesses worldwide. \u201c<em>I\u2019ve been talking with several insurance companies now about entering the cyber-insurance area,<\/em>\u201d says Paul Sop, <a title=\"Chief technology officer\" href=\"http:\/\/en.wikipedia.org\/wiki\/Chief_technology_officer\" target=\"_blank\" rel=\"noopener wikipedia noreferrer\">CTO<\/a> for computer security and consulting firm <a href=\"https:\/\/www.digitalcommerce360.com\/2013\/12\/02\/akamai-buys-web-security-firm-prolexic\/\" target=\"new\" rel=\"noopener noreferrer\"> Prolexic Technologies Inc.<\/a><\/p>\n<p>For insurers like Chubb, the Internet provides an opportunity to develop new products to meet emerging business needs. For potential business clients, Internet insurance plugs gaps in coverage that current business insurance policies don\u2019t address. The article says the gaps include:<\/p>\n<ul>\n<li>Website-related losses,<\/li>\n<li>Website copyright infringements,<\/li>\n<li>Cyber-attacks and<\/li>\n<li>Unauthorized online access to customer information.<\/li>\n<\/ul>\n<p>\u201c<em>We encourage companies to think not only about their Web-based assets but also about their entire technology base when they consider insurance,<\/em>\u201d Ms. Vispoli told <em>Internet Evolution<\/em>. This includes not only <a title=\"Cyberwarfare\" href=\"http:\/\/en.wikipedia.org\/wiki\/Cyberwarfare\" target=\"_blank\" rel=\"noopener wikipedia noreferrer\">cyber-attacks<\/a> that directly target the Website from the Internet but also breaches of confidential corporate data such as customer and employee records. Ms. Vispoli explained that at least 45 states require a company whose data is compromised to send out official notifications to all those affected.<\/p>\n<blockquote><p>Someone from the outside can hack into your employee or customer information, and then there\u2019s the financial pressure of not only fixing the breach and taking action, but also of notifying potentially hundreds of thousands of individuals whose information has been compromised.<\/p><\/blockquote>\n<p>The article says that the cost of notification <em>alone<\/em> can be worth insuring, but there are other costs as well. As recently as five years ago, companies were not required to send out notices nor did they spend the amount of money that it takes today to bring in a forensics team to analyze a cyber breach and find the hack.<\/p>\n<p>The cost of Internet liability and other e-commerce-related insurance varies, depending on the risk factors a given organization presents. <em>Internet Evolution <\/em>says one of the variables is the amount of online sales it books each year. Common types of cyber-insurance that are available today include:<\/p>\n<ul>\n<li style=\"text-align: left;\">Technology professional liability,<\/li>\n<li style=\"text-align: left;\">Media errors and omissions,<\/li>\n<li style=\"text-align: left;\">Telecommunications professional liability and<\/li>\n<li style=\"text-align: left;\">Computer information and data security liability.<\/li>\n<\/ul>\n<p>\u201c<em>We are seeing an aggressive trend in businesses subscribing to cyber-insurance, especially in industry sectors like healthcare, financial services, retail, services companies like hotel chains and media<\/em>,\u201d Ms. Vispoli said in the article. \u201c<em>Depending on the size of the organization, we might be contacted for coverage information by a <a title=\"Chief security officer\" href=\"http:\/\/en.wikipedia.org\/wiki\/Chief_security_officer\" target=\"_blank\" rel=\"noopener wikipedia noreferrer\">Chief Security Officer<\/a>, or possibly by a <a title=\"Chief financial officer\" href=\"http:\/\/en.wikipedia.org\/wiki\/Chief_financial_officer\" target=\"_blank\" rel=\"noopener wikipedia noreferrer\">CFO<\/a> or CIO<\/em>.\u201d All of them see growing exposures from e-theft, e-fraud, compromise of critical data, loss of goodwill, e-threats, and vandalism, denial of service, copyright infringement, and regulatory compliance issues.<\/p>\n<p><strong>What do you think?<\/strong><\/p>\n<p style=\"padding-left: 40px;\"><strong>Does your organization have cyber insurance?<\/strong><\/p>\n<h6>Related articles<\/h6>\n<ul>\n<li style=\"list-style-type: none;\"><\/li>\n<li><a href=\"http:\/\/blog.imperva.com\/2011\/06\/breaches-and-cyber-insurance.html\" target=\"_blank\" rel=\"noopener noreferrer\">Breaches and Cyber Insurance<\/a> (imperva.com)<\/li>\n<\/ul>\n<p><em><a title=\"Ralph Bach\" href=\"https:\/\/rbach.net\/index.php\/new-resume\/\" target=\"_blank\" rel=\"noopener noreferrer\">Ralph Bach<\/a>\u00a0has been in IT long enough to know better and has blogged from his\u00a0<a title=\"Bach Seat\" href=\"https:\/\/rbach.net\/\" target=\"_blank\" rel=\"noopener noreferrer\">Bach Seat<\/a> about IT, careers, and anything else that catches his attention since 2005. You can follow him on <a class=\"broken_link\" href=\"http:\/\/www.linkedin.com\/in\/rb48334\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">LinkedIn<\/a>,\u00a0<a href=\"https:\/\/www.facebook.com\/ralph.bach.14\" target=\"_blank\" rel=\"noopener noreferrer\">Facebook<\/a>,\u00a0and\u00a0<a href=\"https:\/\/twitter.com\/rbach48334\" target=\"_blank\" rel=\"noopener noreferrer\">Twitter<\/a>. Email the Bach Seat\u00a0<a href=\"mailto:\/\/bach.seat@gmail.com\" target=\"_blank\" rel=\"noopener noreferrer\">here<\/a>.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Data breaches Web fraud data breach headlines are causing firms to buy to get cyber insurance as well as traditional coverages<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[32],"tags":[3045,1795,32,1819,605,849,604,4],"class_list":["post-2030","post","type-post","status-publish","format-standard","hentry","category-business","tag-3045","tag-breach","tag-business","tag-computer","tag-cyberwarfare","tag-data","tag-insurance","tag-security"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/posts\/2030","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/comments?post=2030"}],"version-history":[{"count":7,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/posts\/2030\/revisions"}],"predecessor-version":[{"id":123467,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/posts\/2030\/revisions\/123467"}],"wp:attachment":[{"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/media?parent=2030"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/categories?post=2030"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/tags?post=2030"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}