Zurich has launched a new cyber insurance policy with an updated form that, the insurer said in a statement, was designed to help businesses protect themselves from cybersecurity risks.
The new form replaces Zurich's security and privacy policy and brings together coverages previously available only through endorsements but now embedded within one product that can be customized to meet each company's needs.
Zurich said that, through this policy, it has become the first insurer to include network security monitoring and pre-breach services as part of its cyber insurance policy.
The cyber insurance policy is consistent for Zurich customers worldwide and is available in North America through the specialty errors and omissions, wholesale, and Canadian underwriting teams.
“A strong cybersecurity strategy is critical for businesses of all sizes,” said Paul Horgan, head of North America commercial insurance. “The new Zurich cyber insurance policy offers more expansive coverage for greater risk protection and reinforces the importance of resilience with access to network security monitoring.”
Zurich added that, in addition to previously covered offerings such as breach costs, business income loss, and dependent business income loss, the new policy features coverages previously not offered:
- Affirmative General Data Protection Regulation (“GDPR”) and Payment Card Industry (“PCI”) wording – for regulatory proceedings, assessments, fines, and penalties associated with the enforcement of GDPR and the PCI security standard;
- Reputational damage coverage – for reputational damage associated with an adverse media event resulting from a cyber breach;
- Social Engineering Fraud Transfer Coverage – for funds lost from a social engineering fraud event;
- System Failure and Dependent System Failure coverages – for the failure of a system or the failure of a service provider's system resulting in a business interruption; and
- Voluntary shutdown and crypto-mining.
The policy provides coverage to $25 million and includes:
- Definition of insured person extended to include temporary employees, volunteers, or interns;
- Broad definition of computer system, including industrial control systems and bring-your-own-device (“BYOD”) programs; and
- New first dollar claims avoidance coverage built into the policy.
Zurich added that the new application includes simplified, clear language aligned with the National Institute of Standards and Technology (“NIST”) Cybersecurity Framework.
“Businesses must adopt a mindset of resilience rather than just protection,” said Gerry Kane, head of Zurich's cyber risk engineering team. “It is part of our responsibility to encourage a culture of awareness from the board room to the mail room.”
Learn more: www.zurichna.com.