Cyber Liability coverage is a very important coverage for any business using computers, while storing any personal identifiable information. When purchasing a Cyber Liability policy, it is important to be sure that the policy includes coverage for cyber extortion and ransomware.
Cyber extortion is a where the cybercriminal will demand money while threatening to seize the data or files of the business. Many cybercriminals will use ransomware as a way of gaining access to the company’s computer files.
The cybercriminal will try to trick an employee into opening a file, which will release malware causing the servers to become encrypted and access to be restricted or denied. The only way to regain access to the files is to pay the cybercriminal the ransom they are requesting.
Coverage for cyber extortion and ransomware will cover any monies to pay ransom demands, the cost to hire an expert to negotiate with the hackers and the cost of the forensics expert needed to determine how the cybercriminal gained access to the computer system.
A homeowners association recently had a ransomware attack where the cybercriminal encrypted their computer in their guardhouse, leaving it unusable, and requested a ransom in bit coins to return the computer for their use. The cyber liability policy would pay the ransom, and investigate how the cybercriminal gained access to the computer so that securities could be increased to prevent a future attack of this kind.
Since these activities are becoming more prevalent it is more important than ever to obtain these coverages.
Contact Park & Associates today at (561) 994-0880 to ensure you are covered for these types of exposures.