Is your digital data secure?
Following the introduction of the new Data Protection Regulations last year, all businesses are now subject to fines and penalties for failing to secure digital data.
The subject of insurable fines is still far from clear and it is likely we will need a test case in the courts before anyone can fully define the cover around Regulatory fines. The current assumption is that the tier 2 fines of upto 4% of turnover will not be legally insurable but there is a possibility that a tier 1 administrative fine of upto 2% could be.
What changes will you see to our Cyber offering?
Due to these changes in regulations, we’ve taken the decision to extend our SME Cyber insurance product to protect the insurable elements of a breach of Data Protection Regulation, should your client suffer a data breach, virus, hacking or denial of service attack.
Regardless of any debates around the legal position for insurance covering fines and penalties, the real value of our Cyber offering is rooted in the expertise we provide your clients in the response to a data breach.
That’s why we provide a 24/7 rapid response team, as well as access to a dedicated incident manager who will co-ordinate the necessary IT and legal experts to help your clients:
- Investigate the cause and the type of data that was breached
- assess the likelihood and severity of any risk to people’s rights and freedoms and whether the Regulator needs to be notified
- legal advice and engaging experts to manage public relations to protect the company's reputation.
Should you have any questions about these enhancements to our market leading Cyber offering, or fines and penalties in general, please get in contact with your usual Aviva underwriter.