Data breach is a phenomenon that every company holding customer
or sensitive personal information will experience - simply put, it
is not a question of 'if' but 'when.' - simply put, it is not a
question of 'if' but 'when.' Paul Bantick from Beazley looks at the
Data breaches take many forms and many cannot be planned
The potential insurance market for this business is massive - as
demonstrated by the rapid growth of data breach insurance in the
US. New EU-wide data privacy legislation is due to be passed
in the next year and will bring with it punitive measures for firms
mishandling data. This will force companies to inform clients of
any data breach - no matter how big or small. These regulations
could to be a game changer in terms of insurance penetration.
There are a number of insurers moving into this market, but not
all policies are alike.
There is confusion among clients as to what protection they have
in existing policies - and they are looking to their brokers for
The unfamiliar risks, the service concept within many policies,
even non-standard language of the cover all put a premium on
Brokers need to understand the policies, clients need to know
the facts, and insurers need to provide the services required to
get a business back on its feet - and that is much more than just
handing out a cheque when a valid claim occurs.
View the attached Thinkpiece »