Indiana has about 512,348 small businesses. If you own a company here, then cyber liability insurance is usually necessary. The majority of operations have a cyber risk exposure on some level.
An independent insurance agent can help with coverage and premium selection. They work with several carriers so that you have options for your business insurance. Connect with a local adviser for quotes.
What Is Cyber Liability Insurance?
Most business owners in Indiana do not carry cyber liability insurance at adequate limits. There may be a small amount of coverage in a primary general liability or business owners policy that you own. Usually, these limits are not sufficient.
Cyber liability insurance
Cyber liability insurance will help pay for legal fees and damages associated with a cyberattack. When you're business data gets breached, you'll be responsible for the loss. Without a policy, your operation will be exposed financially.
Cyber Liability Insurance Cost
Like other business policies you own, the cost of your cyber liability insurance depends on a variety of factors. Take a peek at what carriers use to determine premiums:
- Gross annual income
- Cyber protection plans in place
- Updating of software
- Type of data stored
- Access points to data
- Malware used
- Prior claims
The cost of your individual policy will be unique to your business's risk exposures. If you're looking to save premium dollars, you can bundle your cyber liability insurance with your other business policies. This can save you up to 30% on your costs across the board.
Who Needs Cyber Liability Insurance?
The majority of Indiana businesses need cyber liability insurance. In Indiana, $6,780,466,000 in commercial claims were paid in 2019 alone. To shelter your company from any repercussions of a loss, consider reviewing your current coverage. Take a look at where cyber liability insurance is most helpful:
- If you own a business. whether small or large
- If you use email
- If you have internet
- If you utilize software or computers
- If you obtain employee or client data electronically
Cyber Liability and Data Breach Insurance
Data breach insurance is included in your cyber liability policy. It is one form of coverage that kicks in at a set time when a cyber claim occurs. There are different times in the claim process that each coverage will apply. Check out how it works:
When data breach coverage applies
Data breach coverage will apply when you have a breach of data, and you need to restore what was compromised. Coverage can be in the form of alerting the public of a breach, fraud, identity restoration, consulting services, and more. This coverage is utilized first.
When cyber liability insurance applies
Next, cyber liability insurance would apply when an employee, client, or member of the public files a lawsuit. The lawsuit is due to the data breach that occurred and any sensitive information that may have been stolen. Cyber liability will pay for defense and settlement costs.
Cyber Liability Insurance for Law Firms
When you own a law practice in Indiana, there is a lot that could go wrong. Your firm houses sensitive information that could be detrimental to a case if it was stolen. Not to mention your firm's reputation if your clients' data isn't protected.
Your entire practice revolves around attorney-client privilege. When case facts are compromised, you'll be on the hook for any financial responsibility. In addition to carrying professional liability coverage, your firm should look at cyber liability for proper protection.
Cyber Liability Insurance for Small Businesses
In the US, $404,801,289,000 in commercial insurance claims for small business owners were paid in 2019. When you're setting up shop in Indiana, the right policies will make a world of difference. General liability, commercial auto insurance, and commercial property insurance are among the most common local operations coverage.
Unfortunately, most small businesses forgo cyber liability insurance. When as little as clicking a link in a suspicious email could cause thousands of dollars in damage, being proactive is essential. Adequate insurance for your business will include cyber liability coverage.
Cyber Liability Insurance for Technology Companies
When you own a technology company in Indiana, you may already be aware of the threat of cyberattacks. Most of the time, you are dealing with sensitive data that could cause a great deal of exposure if stolen. While some technology companies opt for cyber liability protection, there are still many that do not.
Some business owners think that their other policies will cover their cyber risk. This is only partially true. Your business owners policy or general liability insurance may include a small limit of cyber liability protection. The typical amount is around $25,000 and is barely enough to cover a small portion of legal fees.
How to Connect with an Indiana Independent Agent
When you're a small business owner in Indiana, the right cyber liability insurance is important. As little as intercepting a malicious email could put your livelihood at serious risk. Review your business policies with a trained professional at zero cost to you.
An independent insurance agent can help with policy and premium options. They work with several carriers so that you get the best deal in town. Connect with a local expert on TrustedChoice to start saving today.
TrustedChoice.com Article | Reviewed by Jeffrey Green
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