Cyber Insurance 2nd Edition

 

Table of Contents

 

Chapter 1:  Identifying Cyber Risk for Insurance

1

Debit & Credit Card Security Measures Cover Losses

4

Interest in Cyber Insurance Grows

4

Who is Vulnerable to Cyber Events?

6

Insurers Recommend Freezing New Credit to Prevent Fraud Losses

6

SIRF is Currently Uninsurable

8

News From the Insurance Information Institute

9

Cyber Crime Can Equate into Cyber Terrorism

13

Insurance & Definitions Regarding “Act of War”

14

Insuring Clouds for Data Storage

15

The Hope of a More Secure System

16

Banks Must Act to Prevent Losses

17

Even Chip-and-PIN Cards Facing Fraud & Loss

18

Insurance Industry’s Cyber Reports

19

Chapter 2:  Growth of Cyber Risk

20

     The question is: how did we get to this point?

20

  December 1969

21

  June 1982

21

  November 1988

19

  March & April 1994

21

  June 1997 through April-May 2007

22

  June 2007 through April 2010

23

  June 2010 through May 2012

24

  May 2012 through July 2014

25

  November 14 through July 2020

26

  August 2020 through September 2020

27

  October 2020 through December 2020

28

  January & February 2021

29

  March & April 2021

30

  Mary & June 2021

31

Who is Vulnerable?

32

The Future of Cyber Security Risks & Coverages

34

       Botnet

35

Determining Who Needs Coverage

35

Cyber Forensics

36

Hacktivists

36

Insurance Considers Current Risks

37

Insurers Can Experience Risk, as well as Analyze It

38

We are a Connected World

38

Effective Risk Management Includes Insurance

39

Risk Management is Ongoing

40

  Shadow IT

41

  API

42

Industry Best Practices

44

Insurers May Require Vetting of Third-Party Vendors

44

Insurers Want Analytical Data, so Keep Track

45

Working with Insurers

45

Insurance Market Exists in Cyber Coverage

46

Overlapping Coverage Issues

47

War & Terrorism Policy Exclusion

48

Chapter 3:  Cyber Insurance Policy Provisions

51

Defining Cyber War & Terrorism, Separate from Non-Cyber Events

51

Types of Liability Policies

52

  Manifestation Theory

53

  Triple Trigger Theory

53

    Available third-party coverages

54

The Policy

55

     Cyber Security Liability Coverage Form

56

        I. INSURING AGREEMENTS

56

        II. COVERED CAUSES OF LOSS

58

       III. DEFINITIONS

59

       IV. EXCLUSIONS

65

       V. YOU AND YOUR ORGANIZATION

67

       VI. TERRITORY

67

       VII. POLICY TERMS AND CONDITIONS

67

Chapter 4:  Cyber Risk Management

75

Terrorism Risk Insurance Program Reauthorization Act

75

Personal Privacy

76

Recommendations for Placing Cyber Insurance

77

The Challenge of Risk Management

80

Cloud Vendors, Data Storage, & Cyber Policies

81

The Legal Side of Cyber Breaches

84

Commercial Policies vs. Cyber Liability Policies

87

  NAIC Principles for Effective Cybersecurity: Insurance Regulatory Guidance

88

Data Security & Breach Notification Act of 2015

91

Cyber Security Bill of Rights

92

Cybersecurity Bill of Rights for Insurance Consumers

93

Chapter 5:  Emerging Future of Cyber Risks

95

The Future Challenges Insurers

96

Security Intelligence

97

Altered Data

100

The Changing Face of Crime Means New Insuring Requirements

100

Brick Attacks

102

Biometric Security

102

Genetic Testing

103

Smart Meters

103

Distance Crime Changes Insurance Picture

104

Project 2020

104

Cyber Crime Insurance Risk

106

Risk-Based & Control-Based Insurance Models

107

Types of Cyber Criminal Threats

108

When Cyber Crime Evolves into Potentially Insured Physical Threats

108

Creation of Intelligent Computers

109

Multiple Identities

109

The Insurer’s Role

110

  CIO’s consider the following

111

 

United Insurance Educators, Inc.

8213 - 352nd Street East

Eatonville, WA.  98328