Cyber Liability Insurance

Protect your business from the financial devastation of data breaches, cyber attacks, and ransomware with comprehensive cyber insurance.

The average cost of a data breach in 2024: $4.45 million

60% of small businesses close within 6 months of a cyber attack. Don't become a statistic.

What is Cyber Insurance?

Cyber liability insurance protects businesses from internet-based risks and data breaches. As cyber threats grow more sophisticated, every business that stores customer data, processes payments online, or uses digital systems needs protection.

This coverage helps your business recover from cyber incidents by covering costs like forensic investigations, customer notification, legal fees, regulatory fines, and business interruption.

What Does Cyber Insurance Cover?

Data Breach Response

Covers forensic investigations, customer notification costs, credit monitoring services, and public relations expenses after a breach.

Ransomware & Cyber Extortion

Protection against ransom demands, including negotiation services and ransom payment coverage if necessary.

Business Interruption

Reimburses lost income and operating expenses when cyber attacks disrupt your business operations.

Legal & Regulatory Costs

Covers legal defense, settlements, and regulatory fines from data protection violations (GDPR, CCPA, etc.).

Third-Party Liability

Protection when your security failure causes damage to customers, partners, or other third parties.

Common Cyber Threats

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Phishing Attacks

Fraudulent emails trick employees into revealing passwords or downloading malware.

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Ransomware

Malicious software locks your files and demands payment for their release.

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Payment Card Fraud

Theft of credit card information from your payment systems or databases.

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Insider Threats

Current or former employees intentionally or accidentally exposing data.

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DDoS Attacks

Overwhelming your website with traffic to shut down your online presence.

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Malware

Viruses, trojans, and spyware that damage systems or steal information.

Who Needs Cyber Insurance?

Every business needs cyber insurance in today's digital world, especially:

E-commerce stores
Healthcare providers (HIPAA compliance)
Financial services
Law firms and accountants
SaaS and tech companies
Retailers with POS systems
Any business storing customer data
Remote or hybrid workforces

Real-World Scenarios

Small Retailer Ransomware Attack

A clothing boutique's point-of-sale system is infected with ransomware. Hackers demand $50,000 to unlock the system. The business can't process sales for a week.

Cyber insurance covered: Ransom negotiation, ransom payment, forensics, lost revenue, and system restoration.

Healthcare Practice Data Breach

A dental office accidentally exposes 5,000 patient records through an unsecured database. HIPAA violations result in regulatory investigation and patient lawsuits.

Cyber insurance covered: Legal defense, regulatory fines, patient notification, credit monitoring, and PR crisis management.

E-commerce Site Compromised

An online store's checkout page is hacked, allowing criminals to steal customer credit card information for three months before discovery.

Cyber insurance covered: PCI-DSS penalties, customer lawsuits, forensic investigation, and business interruption costs.

Cost & Coverage Limits

Cyber insurance premiums are based on:

  • Annual revenue: Larger businesses pay more
  • Industry sector: Healthcare and finance face higher premiums
  • Security measures: Strong cybersecurity lowers costs
  • Data volume: More customer records = higher risk
  • Claims history: Past incidents increase premiums

Small Business

$1,000 - $7,500/year

For $1M coverage

Medium Business

$7,500 - $50,000/year

For $5M+ coverage

What's NOT Covered

Cyber insurance typically does NOT cover:

  • ×Future lost profits or business value
  • ×Software or hardware upgrades (only repairs/restoration)
  • ×Intellectual property theft
  • ×Intentional acts by management
  • ×Pre-existing vulnerabilities you knew about
  • ×Infrastructure improvements or betterment

Get Your Quote

Protect your business from cyber threats. Compare rates from leading cyber insurance providers.

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