Today, data breaches and other cyber crimes are becoming more common. Major corporations have made headlines due to their failure to secure sensitive personal data of their customers. Fraternal organizations are no different.
Now more than ever it is extremely important for organizations to protect the personally identifiable information (PII) of their members. Breaches involving PII are both harmful to the individuals and the organizations involved. Individuals suffer due to identify theft, and the associated costs and inconveniences while organizations face harms that include the loss of public support, legal liability, and the costs associated with containment, remediation, and notification.
Cyber Security Liability insurance coverage helps organizations recover from accidental damage or destruction of electronic media, administrative or operational mistakes, and computer crime and computer attacks.
All 50 states, including the District of Columbia, have enacted legislation requiring private entities to notify individuals of security breaches of information involving personally identifiable information. The costs to properly and promptly notify, commonly in writing, and disclose the breach can be at least partially offset with the proper insurance coverage. In most cases, organizations are also responsible for providing credit monitoring services to those affected which can quickly and dramatically increase the monetary impact of this growing exposure. The average data breach cyber claim costs nearly $700,000.
This basic information has been prepared as information only. The actual insurance policies are subject to definitions, duties, exclusions, limitations, and various other terms and conditions. This information does not amend, extend, or alter the coverage afforded by the actual insurance policies.
PII may be used to distinguish, trace, or even steal a person’s identity.
Our experienced staff is ready to help you today.