Get Cyber Liability Insurance And Know How It Works
Data is not covered by standard property insurance policies, nor are common cybercrimes such as phishing scams and identity theft, according to MSPAlliance, the International Association of Cloud and Managed Service Providers. Having a cyber policy in place can aid lenders and servicers in restoring data if it is lost. It can also cover the costs associated with notifying consumers of a breach. But when a company gets cyber liability insurance, it's important it understands the rules and procedures. "They've got pretty strict guidelines on who they work with," said Bob Orkis, chief information officer at Fairway Independent Mortgage Corp. In particular, insurers may require policyholders to go through a certain sequence of steps to activate their coverage in the event of a breach, he said.