Cyber - DKG Insurance Brokers
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Cyber Insurance

Cyber protection insurance is a relatively new form of cover. It’s designed to help protect your business from the financial impact of computer hacking or a data breach.

If you see it, report it!

In February 2017, the Senate passed the Privacy Amendment (Notifiable Data Breaches) Bill 2016 – setting up a mandatory nationwide data breach notification scheme. This means if you spot a security breach, which may cause unauthorised access or disclosure of personal information, you’re legally required to report it to the Office of the Australian Information Commissioner within 30 days. You’ll also need to notify the people whose information has been affected.

If your business has a website or electronic records, you’re vulnerable to cyber hackers. In fact, it’s likely that your business will suffer a cyber-attack at some stage.

A cyber-attack could cost your business more than money. It could also threaten your intellectual property and put customers’ personal information at risk, which could damage your reputation.

At DKG Insurance Brokers, we understand that the needs of each client are different, therefore we will take the time to assess your individual risk requirements and deliver a bespoke solution. Please reach out to one of our experienced brokers today.

Important note − The information provided is general advice only and has been prepared without taking into account your objectives, financial situation or needs. When making decisions about cyber insurance, please consider the Product Disclosure Statement.

“Cyber risk primarily refers to the risk posed to a business by a data breach or network compromise. These can occur as a result of either human error, malicious actions by disgruntled employees, by organised crime gangs, acts of war or disruption by nation states.”
Insurance Council of Australia, Cyber Insurance: Protecting our way of life, in a digital world, 2022

Cyber insurance policies vary in the benefits they provide. We can help you find the most suitable product that meets the needs of your business. To give you an idea, here’s the type of cover that your policy may include:

Type of cover Potential benefits
First part losses
Business interruption losses Covers financial loss you may suffer as a result of a cyber-attack.
Cyber extortion The costs of a cyber-attack, such as hiring negotiation experts, covering extortion demands and prevention of future threats.
Electronic data replacement The costs of recovering or replacing your records and other business data.
Third party losses
Security and privacy liability Damages to your reputation resulting from data breaches, such as loss of third party data held on your system.
Defence costs Funds the legal costs of defending claims.
Regulatory breach liability Covers legal expenses and the costs of fines arising from investigation by a government regulator.
Electronic media liability The costs of copyright infringement, defamation claims and misuse of certain types of intellectual property online.
Extra expenses
Crisis management expenses Provides cover for the costs of managing a crisis caused by cyber hackers.
Notification and monitoring expenses The costs of notifying customers of a security breach and monitoring their credit card details to prevent further attacks.

What usually isn’t covered?

Exclusions and the excess you need to pay and limits of liability can vary greatly depending on your insurer. Policies generally won’t include cover for:

  • Damage to computer hardware.
  • Criminal actions committed by you or your business.
  • A cyber-attack based on facts of which you were aware.
  • Criminals using the internet to steal money from you.

There are other exclusions which your insurance broker can outline for you.

Important note − The information provided is general advice only and has been prepared without taking into account your objectives, financial situation or needs. When making decisions about cyber insurance, please consider the Product Disclosure Statement.

“Cyber risk primarily refers to the risk posed to a business by a data breach or network compromise. These can occur as a result of either human error, malicious actions by disgruntled employees, by organised crime gangs, acts of war or disruption by nation states.”
Insurance Council of Australia, Cyber Insurance: Protecting our way of life, in a digital world, 2022

“Cyber risk primarily refers to the risk posed to a business by a data breach or network compromise. These can occur as a result of either human error, malicious actions by disgruntled employees, by organised crime gangs, acts of war or disruption by nation states.”
Insurance Council of Australia, Cyber Insurance: Protecting our way of life, in a digital world, 2022