Cyber Insurance

Definition - What does Cyber Insurance mean?

Cyber insurance is a form of insurance for businesses and individuals against internet-based risks. The most common risk that is insured against is data breaches. Cyber insurance typically includes indemnification from lawsuits related to data breaches, such as errors and omissions. It also covers losses from network security breaches, theft of intellectual property and loss of privacy.

Techopedia explains Cyber Insurance

Several high-profile data breaches have prompted some insurance companies to offer cyber insurance policies to protect customers from the effects of network threats, such as data breaches.

These policies typically include first-party coverage against losses related to cyber attacks, such as hacking, malware, theft and extortion, as well as indemnification against lawsuits related to these attacks that customers may bring. The indemnification extends to errors and omissions that may have caused the attack, such as failing to secure a network. Policies also often include public relations responses to an attack.

The downside of cyber insurance is that insurers always want to minimize risks, therefore potential customers are subjected to extensive evaluations of their security procedures before an insurer covers them.

Share this:

Connect with us

Email Newsletter

Join thousands of others with our weekly newsletter

Resources
The 4th Era of IT Infrastructure: Superconverged Systems
The 4th Era of IT Infrastructure: Superconverged Systems:
Learn the benefits and limitations of the 3 generations of IT infrastructure – siloed, converged and hyperconverged – and discover how the 4th...
Approaches and Benefits of Network Virtualization
Approaches and Benefits of Network Virtualization:
Businesses today aspire to achieve a software-defined datacenter (SDDC) to enhance business agility and reduce operational complexity. However, the...
Free E-Book: Public Cloud Guide
Free E-Book: Public Cloud Guide:
This white paper is for leaders of Operations, Engineering, or Infrastructure teams who are creating or executing an IT roadmap.
Free Tool: Virtual Health Monitor
Free Tool: Virtual Health Monitor:
Virtual Health Monitor is a free virtualization monitoring and reporting tool for VMware, Hyper-V, RHEV, and XenServer environments.
Free 30 Day Trial – Turbonomic
Free 30 Day Trial – Turbonomic:
Turbonomic delivers an autonomic platform where virtual and cloud environments self-manage in real-time to assure application performance.