Cyber Liability Insurance in Burbank, CA
Cyber insurance has become an increasingly essential loss control measure for businesses of all sizes and industries. As technological advancements have enabled companies to move various operations into cyberspace, the likelihood and potential consequences of data breaches and other incidents must be adequately addressed. Fortunately, this coverage can provide robust financial protection.
What Is Cyber Insurance?
As its name suggests, cyber insurance, also known as cyber liability insurance, can cover the fiscal consequences of incidents, such as phishing attacks and malware infections. In response to these difficult situations, cyber insurance coverage can provide crucial financial assistance for resulting expenses and losses, such as the following:
- Incident response costs—This may include expenses related to investigating the cyber incident, as well as notifying affected parties, such as clients or customers whose data may have been compromised.
- Fees for additional help—In response to cyber incidents, companies may need outside assistance, such as IT contractors, crisis management teams and public relations firms.
- Business interruption losses—A cyber incident can lead to costly delays as systems are taken offline and then restored. Fortunately, cyber liability insurance may help offset these losses.
- Ransomware payments—Coverage may help satisfy the demands of cybercriminals attempting to extort businesses by holding their systems hostage or threatening to release private data.
- Legal expenses and fines—Following a cyber incident, policyholders may receive financial aid to assist with noncompliance fines issued by regulatory agencies. Additionally, coverage can help pay for attorneys, settlements and judgments in response to lawsuits.
How Much Does This Insurance Cost?
Insurance companies must carefully consider a business’s circumstances and risk levels. A business’s cyber liability insurance rates can be influenced by several factors, including the following:
- Industry
- Amount of data stored
- Type of data involved in operations (e.g., health records or financial information)
- Existing cybersecurity controls
- Prior claims history
We’re Here to Help
At Roman Empire Insurance, Inc., we take great pride in assisting businesses in the Burbank, CA area with their coverage needs. Contact us today to learn more about insurance or to get a tailored quote.