Cyber Protection Insurance
“The scale and reach of malicious cyber activity affecting Australian public and private sector organisations and individuals is unprecedented.
The rate of compromise is increasing and the methods used by malicious actors are rapidly evolving.”
Former Prime Minister Malcolm Turnbull, Australia's Cyber Security Strategy Report, 2016
What is Cyber Protection Insurance?
Cyber protection insurance is a relatively new form of cover. It’s designed to help protect your business from the financial impact of computer hacking or a data breach.
Who Should Consider Insurance?
If your business has a website or electronic records, you’re vulnerable to cyber hackers. In fact, it’s likely that your business will suffer a cyber attack at some stage.
A cyber attack could cost your business more than money. It could also threaten your intellectual property and put customers’ personal information at risk – which could damage your reputation.
Who Can It Cover?
Cyber insurance policies vary in the benefits they provide. Your insurance broker can help you find the most suitable product that meets the needs of your business. Here's the type of cover that your policy may include:
Business interruption losses
Electronic data replacement
Security & privacy liability
Regulatory breach liability
Electronic media liability
Crisis management expenses
Notification and monitoring expenses
What Usually Isn't Covered?
Exclusions and the excess you need to pay can vary greatly depending on your insurer. Policies generally won't include cover for:
Damange to computer hardware
Criminal actions committed by you or your business
A cyber attack based on facts of which you were aware
Ciminals using the internet to steal money from you
There were 177,519 scams reported in 2018 with 9.9% having a financial loss of $107,032,111.
(Scamwatch statistics, Australian Competition & Consumer Commission, 2018)