With cyberattacks growing more common and ferocious, now is a good time to look into cyberinsurance. Be prepared to ask a lot of questions before making a decision. The market for these new-fangled policies is still young, which means coverage and costs differ widely between providers.
Cyberinsurance basically protects your business against catastrophic losses in the event of a security breach. Not surprisingly, its popularity is growing. A survey conducted last year by the Risk and Insurance Management Society found that 80 percent of companies bought a stand-alone cybersecurity policy in 2016, up 29 percent from the year before. Premiums totaled $1.35 billion last year, up 35 percent from 2015.