What:
MGA Embroker announced that it now offers Cyber Insurance and Commercial Crime Insurance.
Why:
Cyberattacks and commercial crime are not targeted to just the deep pockets of large companies. Small and medium-sized businesses are at great risk as well. An estimated 60% of small businesses fail within six months of an attack, and another 80% are subject to repeat attacks.
How:
- The new Cyber Insurance product covers both first and third-party financial losses resulting from data breaches and other cybercrimes. It includes the following:
- Privacy Liability: Protects your company from liabilities resulting from a cyber incident or a privacy law violation.
- Data Breach Response and Forensics: Provides coverage for costs associated with responding to a data breach and digital forensics services that help the company determine the size and scope of a data breach. These costs can include the cost of notifying victims, offering them credit monitoring, covering the cost of reputational damage, and any civil damages that may result from the breach.
- Social Engineering: Provides coverage for any claims and costs resulting from social engineering attacks on a company’s executives or employees.
- Extortion (Ransomware): Provides coverage for any claims and costs resulting from ransomware attacks that cripple a company’s operations and extort money in order to restore those operations.
- Business Interruption: Provides coverage to replace any income lost in the event that a company’s business or operations are halted due to a cyberattack or incident.
- The new Commercial Crime Insurance product covers claims and losses due to crime-related issues committed by both employees and outside entities. It includes the following:
- Core Crime Coverage: Covers a business from internal threats of thefts committed by staff members, both full and part-time. Core crime coverage also covers external threats such as robbery, burglary, forgery of financial instruments, or ransomware attacks.
- Virtual mailbox coverage: Covers loss of money and securities as the result of theft due to the virtual mailbox provider.
- Source Code Theft: Protection from source code theft is relatively rare in commercial crime policies. The product covers costs for a forensic investigation for a criminal incident in which an employee has stolen its company’s source code.
- Employee Counseling: While many employment practices liability insurance policies cover employee counseling for workplace violence, very few crime policies cover this cost in the case of a robbery. This is designed to assist employees that are experiencing stress or other emotional impacts of the incident.