SJL Insurance Services are experts in providing Cyber Insurance.
What is Cyber Insurance?
Cyber Insurance (also often referred to as Cyber Liability Insurance or Cyber Risk Insurance) protects your business should you become the victim of a cyber-attack or if digital data is damaged or lost. This can include events such as a breach in security, cyber hacking, phishing attacks or IT system failure.
Cyber Insurance offers first-party and third-party insurance to help protect you and your customers. Although it depends on the specifics of your cover, Cyber Insurance works by supporting the financial and reputational costs incurred by lost, damaged, corrupted or stolen data or electronic systems.
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Why do I need Cyber Insurance?
It would be hard to find a business that doesn’t use and rely on technology and subsequently deal with data on a daily basis. Despite technology making business easier to do than ever before, it also exposes companies to growing digital threats that can have massive financial implications. Cyber Insurance offers financial support, should the worst happen, for businesses of all sizes, from sole traders right up to Public Limited Liabilities (PLC’s).
A YouGov survey completed in 2019, commissioned by SJL Insurance, showed that more than one in five (22%*) of UK businesses had fallen victim to cyber-crime that cost them financially. Over half of these businesses had experienced a cyber-crime attack more than once.
The cost to the business for the 59% of those who knew how much the most recent cyber-attack financially impacted them, ranged between £1,000 and £250,000.
53% of businesses who fell victim to cyber-crime didn’t have insurance to cover them at the time of the attack.
SJL Insurance is working to raise awareness of this growing threat and educate businesses of the damage cyber attacks can do.
SJL Insurance’s CEO, Simon Lancaster, says “the survey found some really alarming trends, both in terms of how many businesses suffered a cyber loss and also how many have inadequate insurance protection against cyber losses. We are keen to educate companies about how they can protect themselves against this digital threat, in the same way they do against traditional loses such as fire and theft.”
Is Cyber Insurance right for my business?
Cyber Insurance cover provides protection against the growing threats in the digital age and offers you the reassurance you need, knowing that you have support should the worst happen.
From sole traders to large global businesses, if you hold confidential client data about your clients on computers and other internet connected devices, it is important to consider Cyber Insurance.
Although other forms of business insurance can include some elements of cyber risk cover, such as Professional Indemnity Insurance, it is still highly recommended that businesses consider purchasing separate Cyber Insurance to cover the specific threats their company may be exposed to. Add-ons to other business insurances often don’t cover the company robustly enough should a cyber-attack happen.
This is particularly important if you:
- Rely heavily on IT systems or software to run your business
- Have a website
- Use a smart phone for your business (which nearly everyone does)
- Hold sensitive customer details such as names, addresses and financial information
- Process payment card information
Do I really need cyber insurance?
Cyber and Data Insurance will protect you not only against cyber-crime and cyber hacks, but also against mistakes that you or your employees make such as leaving a laptop or documents on a train, losing a memory stick which holds client information or accidentally emailing sensitive information to the wrong recipient.
You can protect yourself by knowing about some of the perils that the expert teams at SJL insurance warn of:
- Data not being encrypted or workers using their personal unencrypted laptops.
- Criminals duping people to pay a fake invoice that appears like it really is from someone relevant to the business, by intercepting emails
- Hackers intercepting remote servers
- Not updating your password can increase hacking risk
- Not locking your screen can cause problem, for example, a child might inadvertently click on something that causes a problem
- Not taking the time to double check an email’s source before clicking on an attachment – this is a particularly common mistake made at home as people tend to be in a more relaxed and less cautious frame of mind.
Due to the Coronavirus pandemic, cyber-crime is even more prevalent at present. This is because:
- Internet hackers are aware of people’s increased vulnerability with an increase in phishing scams and use of internet at home.
- An increase in the use of third-party video conferencing sites which may be susceptible to compromise.
What is covered in Cyber Insurance?
Cyber Insurance can pay the costs of restoring data and equipment, informing clients, meeting ransom demands and loss of your net profit following a cyber-attack. It also pays your legal defence costs and damages you are legally liable to pay to other parties.
SJL Insurance Cyber Insurance policies include benefits such as expert computer services, data protection, extortion cover and even assistance after cyber theft or data breach has occurred.
At SJL Insurance, we carry out a risk analysis of your business to source the correct cyber policy that, in addition to third party liability, covers you for action taken against you following a cyber event. It crucially also includes the following:
- Business interruption cover. Meaning that businesses receive loss of income payments for a period after a cyber event.
- Third party suppliers. Meaning that businesses are protected when a cyber event is caused by a third-party supplier.
- Accidental cover. Meaning that in addition to when businesses are a victim of crime, they are also covered in the event of a cyber accident by themselves or by one of their staff (such as leaving a laptop on a train).
The finer details and extent of cover will depend on the level of cover you choose for your business. The expert teams at SJL Insurance will work with you to build a policy that works best for your individual business.
Why should I choose SJL Insurance for my Cyber Insurance?
SJL Insurance work at the forefront of the insurance industry, recognising new and ongoing threats to businesses. As a global insurance broker, we work for businesses by sourcing the best and most effective policies for them.
As insurance experts, we are on a mission to help the British public and international businesses located all over the world to improve their chance of getting a successful insurance claim by advising them how to protect themselves and what to do.
At SJL Insurance, we carry out a risk analysis of a business to understand the needs of that company and locate the appropriate cyber policy for it.
Contact us today to speak with one of our specialist team members.
How much does Cyber Insurance cost?
The cost of Cyber Insurance will depend on the level of cover and the policy you choose. For example, some businesses who hold larger amounts of personal records or who work in certain sectors may be at a higher risk and therefore require a higher level of cover.
Because every business is unique, SJL Insurance provides unique insurance solutions, so you aren’t paying for anything you don’t need. The price of cyber insurance starts from as little as £75 a year with an A Rated insurer.
SJL Insurance is a market leading insurance broker providing the highest quality Cyber Insurance at the best possible premium to cover companies globally. Please contact our experts either Keeley Theron or Stuart Dix today for a bespoke, no obligations quote.
What other insurance services should I consider for my business?
SJL Insurance offer a number of different covers that may suit your business. These include: