Glossary
Cyber insurance
A policy that transfers part of your cyber risk, covering incident response, business interruption, data restoration and third-party liability.
Cyber insurance covers losses from an incident: first-party costs like incident response, forensics, business interruption and data restoration, plus third-party liability to customers and regulators. For most SMEs the quiet value is the response panel, the forensics, breach counsel and negotiator you can reach at 11pm and would otherwise have to find from scratch.
Since the ransomware loss-ratio blowup around 2020, the application is a controls questionnaire: no MFA and tested backups, no decent quote. Read the conditions, not just the limits, because misrepresenting your posture is the fastest way to a denied claim. Insure the tail you cannot engineer away, not the basics you can. Is it worth it?