Running an online business is different from running a traditional, brick-and-mortar company. But one thing about the two different types of companies is the same: they both need proper business insurance coverage to protect them from liability. For an online business, cyber liability insurance coverage is a big part of what is needed. Here is what your company needs to know about this coverage.
What Does Cyber Liability Insurance Coverage Protect You From?
This coverage can help protect your business from the result of compromised or destroyed data. That data can belong to your business or to your customers, vendors, and employees. A data breach will mean costly issues for your company.
These breaches can mean liability for damages to third parties who have had their data stolen. You may also incur costs from the need to notify people who have had their data breached. With cyber liability coverage, your company will be protected from the financial losses that data breaches and related problems can cause.
By working with Brashears for your cyber liability coverage, you can get the policy you need to protect your business. Many online companies choose not to get this kind of insurance, but if something goes wrong they will not have the financial protection they need. Data breaches and data losses can happen to any company. By choosing the right insurance, you can have peace of mind. That helps you operate an online company that handles sensitive information.
First-Party and Third-Party Coverages Are Most Common
First-party coverages have a deductible. These coverages include a loss of income and extra expenses that your company could have incurred, along with a loss or damage to your stored electronic data. Notification costs when data is breached, cyber extortion losses, and damage to your company’s reputation are generally also included in first-party coverages. Third-party coverages address liability for areas such as electronic media, network security, network privacy, and errors and omissions.
For companies that need or want other coverages added to their cyber liability insurance policy, options include funds transfer and computer fraud, along with cyber terrorism. Additionally, there are options to tailor a cyber liability policy to a specific industry. A financial company will need something different from a healthcare business, and having the right level and type of coverage is very important.
If your online business is considering cyber liability insurance coverage, contact us at Brashears today. We can provide you with a policy that meets your needs, and that provides the protection your company requires. Not only will that give you peace of mind, but it can also help your company operate more efficiently and give your customers confidence in the safety and security of their data, as well.