Insurance giant Aon has unveiled a ‘cyber liability’ package aimed at helping businesses such as care homes overcome IT security breaches.
Cyber liability insurance can protect care homes against the financial losses caused by network security attacks, infringements of data protection laws, employee abuse of email or libelous website content. Viruses, malware and identity theft remain common causes of electronic damage.
Aon claims that Cyber liability insurance can protect businesses not just against external attacks, but also against unintentional damage caused to third parties through electronic communications.
Cyber liability insurance also covers the costs of data restoration, reputation management and crisis management in the wake of an incident, according to the firm.
Figures from 2012 show that 93% of large corporations and 87% of small businesses reported a cyber security breach. The cost of such a breach for large corporations is £450,000 to £850,000, while for small businesses it is £35,000 to £65,000.