The Water Cooler Chat: Indemnity Insurance

The RawTech team have been out and about to lots of events and customer meetings recently. It’s probably no surprise, but everybody is talking about Cybercrime and ….. Cybersecurity Indemnity Insurance.

What’s great is that cyber “everything” is shifting north on the business radar and businesses will have to get their IT house in order to help satisfy insurance requirements, keep their premiums down and lower their risk.

So what’s the lowdown on Cyber Security Indemnity Insurance?

When it comes to IT criminal opportunity, Australian business is broadly regarded as “low hanging fruit”. This has played out with the recent high profile Optus and Medibank attacks. Small and medium businesses are also being affected. Not only is cyber crime increasing in these sectors but the business IT requirements and the requirements from insurers mean that in order to qualify for cover or claim against your insurance, you have to be properly protected.

What is it?

Cyber insurance policies help cover the negative financial impact that result from cyber events and incidents. 

This may include costs associated with:

  • Response management

  • Remediation

  • Mitigation

  • Legal assistance

  • Investigators

  • Crisis communicators and reputation repair

  • Fines or penalties

  • Customer credits or refunds.

  • Staff overtime

  • Forensic services

  • Data liability

It may also include losses associated with:

  • Intellectual property

  • libel or slander

  • extortion

  • net income

  • normal operating expenses

What type of events might it cover?

Depending on your policy, it can may cover:

  • Telephone hacking (PBX dial through fraud)

  • Malicious Network Interruption (loss of internet, DDOS, hacking, data corruption or deletion)

  • Unplanned Network Interruption (outages, employee negligence, system failure. software failure)

  • Security Breach

  • Data incidents (accidental damage or destruction due to vandalism, weather events, fire floods, employee negligence)

  • Extortion (Ransomware)

How can we help?

With your insurance broker researching relevant policies for you, we can be in the background getting your IT house in order. 

  • Asses your current cyber maturity including areas of strength and weakness

  • Run tests across your network to determine vulnerability

  • Audit your staff password regime in relation to complexity and Multi Factor Authentication

  • Respond to any requests from your Insurance Provider as part of their underwriting process

  • Speak with your teams to ensure they understand the risks

  • Recommend any changes to your network to heighten your protection, helping to keep you premiums down

Should a cyber security event occur, we will be your first responders 24/7/365 and will work with your Insurance Company where and when required in the critical first 24-48 hours.

Working with RawTech means we’re part of your team. We’re tightly managing your business security ensuring you are compliant, secure and…. it might even keep those insurance premiums in check.

If you would like to discuss anything referenced in this article, please get in touch with Rawtech on 1300 722 211

Paul Ridoutt