Why Choose AmTrust for Cyber Liability Insurance?
With an A- (Excellent) rating by A.M. Best, AmTrust Financial always seeks to deliver superior services at a rate that’s both fair and affordable. With a variety of tools and resources at our disposal, we work with AmTrust appointed agents to provide you with a quote for state disability insurance quickly and easily. We can even write policies for completely new ventures that fit emerging demands in the market.
AmTrust and our agents recognize the importance of flexibility in today’s business environment. We work closely with our agents and the small and mid-sized businesses they serve to design the specific packages they need to comply and succeed. Additionally, we offer advanced reporting, monitoring and audit options so both our agents and policyholders can always see how your AmTrust policy is performing for you.
What is Cyber Liability Insurance?
Cyber liability insurance provides coverage for certain losses incurred as result of data breaches. When customer data is compromised, it's usually not arbitrary or otherwise public information being targeted. Credit card data, names, phone numbers, addresses, driver's license numbers, health records, and even social security numbers can quickly find themselves in the wrong hands with a few strokes of the keyboard. Attacks can vary from malicious assaults on your physical servers to phishing scams that solicit sensitive data from individual users. Cyber liability insurance can protect your company from a range of cyber attacks, and AmTrust is committed to evolving our coverage as new cyber threats emerge for our customers.
The extent of cyber liability coverage you may need will differ from business to business. At minimum, cyber liability insurance helps companies comply with state regulations that require a business to notify customers of a data breach involving personally identifiable information. AmTrust policies generally cover indemnification for legal fees and expenses, provide customer notifications in the event of a breach, and include the option to monitor the information of anyone impacted for a specified period. Policies may also cover costs incurred in the recovery of compromised data or the repair of damaged computer systems.
Aside from basic cyber liability coverage, AmTrust's cyber liability policy also includes coverage for Website Media Content Liability, Regulatory Defense and Penalties as well as PCI Fines, Expenses and Costs. For example, as your business expands into the digital and mobile space, our Website Media Content Liability coverage addresses the risks associated with any violations of privacy, plagiarism or piracy, copyright and trademark infringement, alleged defamation, libel, or slander relating to your website.
Why do small businesses need Cyber Insurance?
Organizations both large and small were victims of data breaches over the past year. Every employer faces the reality that they could be the target of a network security breach. A cybersecurity breach can jeopardize credibility and cost small businesses thousands of dollars (or more) in damages, impacting customer service, productivity and reputation.
AmTrust offers a single policy solution that is specifically tailored to protect small businesses against cyber security and privacy breaches. Here are five things to know about AmTrust’s Cyber Liability
and Data Breach Response insurance coverage.
- AmTrust’s Cyber Liability product offers low rates and specialized coverage. No application is required for a quote for limits of $100,000 or below.
- Cyber liability insurance works for your client immediately in the event of a data breach. First party response services include assistance at every stage of the investigation of, and response to, a breach incident from a team of technical professionals. Our coverage includes legal services to help companies comply with state regulations that require a business to notify customers of a data breach involving personally identifiable information.
- AmTrust’s Cyber Liability product is designed to pay the client for loss if the interruption or suspension is caused by the failure of the client’s computer security to prevent the breach.
- AmTrust's Cyber Liability policy also includes coverage for Website Media Content Liability.
- AmTrust’s Cyber Liability product is designed to reimburse the client for costs incurred to restore data from backups or from originals or to gather, assemble and recollect such data from other sources to the level or condition in which it existed prior to the breach.
What Does Cyber Liability Insurance Cover?
Small businesses may be more vulnerable to a data breach due to lack of necessary data security measures from internal sources (disgruntled employees, loss of laptops/phones, inadequate training, etc.) and external sources (malware/virus, phishing, keyloggers, and more).
AmTrust Cyber Liability coverage features third-party liability coverage for limits in addition to Breach Response Coverage for:
- Information security and privacy
- Regulatory defense and penalties
- Website and offline media content
- Payment card industry (PCI) for credit card breaches
First Party Cyber Coverages
- Privacy Breach Response Services
- Cyber extortion
- First Party Data Protection
- Business interruption
In order to submit a cyber liability policy, AmTrust requires that it is written in conjunction with an AmTrust Package, Businessowners Policy or Workers Compensation program. There is no application process for limits of $100,000 or below, but there is a limit up to $1 million available with a completed application.
AmTrust Cyber Liability product begins working for you right away in the event of a data breach. There is assistance at every stage of the investigation of, and response to, a data breach incident from a team of technical experts and data privacy attorneys. The policy includes:
- Notification services for up to 100,000 affected individuals including foreign notifications, where applicable.
- Call center services provided for 90 days (or longer if required by law) following notification of an incident for which notice is provided.
- Public relations and crisis management expenses directly related to mitigating harm to the insured organization’s reputation or potential loss from a public relations event.
- Initial breach investigation and consulting for legal and computer forensic services from a panel of experts to help determine the extent of the breach and the steps needed to comply with applicable laws or regulations.
- Discretionary notice coverage included to notify individuals potentially affected by the breach, when a breach does not trigger any legal duty to notify.
We offer compliance and breach response information and online resources for clients on data security issues. Our cyber liability team provides an Information Security Incident Response Guide aimed at providing a roadmap for companies to prepare for and manage the aftermath of a data security breach. The guide addresses information security incidents such as malware intrusions, social engineering attacks, unauthorized network access, lost or stolen devices, and other kinds of data security incidents and breaches. The guide also provides in-depth case studies and best practices for preparation, risk assessment, and incident documentation, highlighting the varied components of an effective response.
Cyber privacy is a subset of data privacy and data privacy laws. Cyber privacy refers to the idea that your customers have a right to personal privacy online. This privacy extends to the storing, repurposing, provisioning, and certain data collection methods you use to obtain and display data.
Cyber privacy can include both personal identifying information or non-identifying information, like a user's behavior on a website. Personal identifiable information usually refers to information that can be used to identify someone. For example, a name and physical address could easily be used to identify an individual. Age, social security number, driver's license information, and telephone number are all examples of personally identifiable information.
Why do I need cyber liability insurance?
The total cost of data breaches and privacy-related claims can range from $1.25 million to $8.19 million. Personal identifiable information was the most reported data breach, with credit and payment card information being one of the most frequently stolen pieces of data.
Premiums on a cyber liability insurance policy that's designed to support your business's unique risks and budget will cost a fraction of the amount you could spend recovering from a cyber attack out-of-pocket. Maintaining cyber liability insurance will help keep you operational after an attack, and it demonstrates to your customers that you care about their well-being and privacy.
The raw legal costs for being sued while uninsured or underinsured can be catastrophic, with the average claim for 2016 coming in at $665,000. For small and mid-sized businesses, not having cyber liability insurance in the event of an attack could threaten the basic sustainability of your business.
How do I get cyber liability insurance?
The basic process for buying cyber liability insurance takes three steps:
1. Assess your risk.
Assessing your risk will help you understand the need to purchase cyber liability insurance. So, what's your risk? It depends on a variety of factors. If your normal business activities require you to collect, transmit, store, view or otherwise interact with personal information that hackers could use to identify a customer, then you probably need some form of cyber liability insurance.
A tool that can help you quantify your cyber security risk exposure is the Federal Financial Institutions Examination Council's Cybersecurity Assessment Tool (CAT). This tool can be used to determine the kinds of cyber risks and level of exposure a business faces. CAT helps organizations determine absolute and relative risk in a measurable way by using an Inherent Risk Profile. You can also use our site to connect with a dedicated AmTrust agent who can help you determine the right amount of cyber liability coverage for your specific needs.
You should also know the warning signs of a data breach, and what to do after a cyber attack. Take the time to make sure your organization is prepared for a data breach before it happens.
2. Get your quote.
Once you establish your risk, you'll know what kind of coverage you need. The next step is to find out how much it will cost. You may wish to solicit quotes from several reputable insurance companies, but don't base your decision solely on the price. Not all companies offer the same benefits or coverages for the same premium. Review the quote to ensure it includes the specific policy options you need to cover your risk. Make note of any gaps or additional coverages included in the quote, and consider these when you evaluate cost.
If you worked with an AmTrust agent to evaluate your unique risk, that agent will be able to provide a quote that exactly matches your needs.
3. Fill out an application.
Once you've interviewed several companies, fill out an application with the company whose quote best fit your needs. An insurance agent should be available to help you fill out your application, answer any questions you may have, and get the underwriting process started.
If you choose AmTrust, our online application makes this part easy. Once you start your application, a dedicated AmTrust agent will be there to help you every step of the way, with direct access to underwriting that will help get your policy in place as soon as possible.
Cyber liability insurance is still a relatively new coverage, gaining increased visibility in the past decade since it was introduced. Data breaches have become a fact of life, and AmTrust appointed agents have advanced tools at their disposal to help policyholders expand insurance coverage and protect their businesses from the fallout of cyber threats.
As an appointed agent with AmTrust, you can easily add cyber liability insurance to a policyholder’s existing coverage, such as businessowers or workers’ compensation policies. With limit options available as low as $50,000, you will be able to place this important coverage for even your small business commercial customer.
AmTrust Financial and its appointed agents offer three “towers” of insurance coverage for cyber liability policyholders:
Policy Aggregate Limit of Liability
Privacy Breach Response Services including notification services, call center services, credit monitoring, computer experts, legal services and public relations
Appointed agents have access to a risk management website for all AmTrust cyber liability insurance policies at no additional charge, which provides education and loss control content to prepare your customer and minimize the impact on your customer in the event of a breach.
Evolution of Cyber Liability
Cyber threats have evolved drastically over the past two decades. Cyber liability insurance is rooted in the errors and omissions insurance policies tech companies purchased 20 years ago. These policies covered events such as software crashing another company’s network or unauthorized access to client systems. Today, cyber liability insurance has expanded to cover network security issues that expose privacy concerns resulting from data breaches. Common components of cyber liability insurance include:
- First Party Coverage that responds immediately after a suspected incident. Coverage includes forensics, legal analysis, notification and credit monitoring as well as public relations.
- Third Party Coverage that provides a defense in the event of litigation against your customer.
Protect Against the Costs of Cyber Breaches
AmTrust appointed agents understand the needs of their commercial customers, and have access to coverage options and innovative solutions that help protect policyholders against financial loss and damage stemming from cyber threats.
Our focus on providing small and mid-sized businesses with affordable, effective cyber liability insurance lets our appointed agents tailor policies and coverage options to the individual needs of insureds. AmTrust cyber liability insurance offerings help policyholders avoid the real costs of a cyber breach.
AmTrust Meets the Needs of Our Agents
As an appointed agent of AmTrust, you can help your commercial customers get the cyber liability insurance coverage needed to avoid the financial cost and public relations hassle of cyber breaches. Appointed agents get access to innovative, agent-driven solutions that provide your commercial customers with peace of mind in the face of cyber threats. AmTrust works closely with all appointed agents to build tight-knit relationships, allowing us to understand your needs and those of your customers.