Do I need Cyber-Liability Insurance?What is it?Why would I need it?

By
Services for Real Estate Pros Insurance NPN # 13379201

Do you carry client’s personal & confidential info on your computer? Do you have copies of clients mortgage applications stored in your email? Do you use free email accounts?

Then you may be vulnerable and liable if that data gets out

Cyber-liability insurance is a type of insurance focused on the increasing exposures now faced by people & business that operate online or hold sensitive client data on their computer systems.

 

Security and Privacy Liability - Failing to prevent or hinder unauthorized access or use of your computer system and the confidential material thereon such as loss of employee information, loss or theft of customer personal identifiable data and transmissions of malicious codes to others. First and Third party coverage is available.

Multi-media Liability - Allegations from your internet site or printed media which cause defamation. Libel, slander, trade libel, product disparagement or torts relation to harm the reputation of others.

•Privacy Breach Response Costs, Customer notification and Customer Support and Credit Monitoring Expenses.

Privacy Regulatory Defense and Penalties - Regulatory Compensatory Awards or fines and penalties and related claims expenses in regards to Billing Errors Proceedings

Network Asset Protection - Restoring, updating or replacing digital assets to a level beyond that which existed prior to your Covered Cyber Loss including Business Interruption and Extra Expense Coverage.

•Cyber Terrorism - expenses such as income loss, interruption expenses during the period of restoration as a result of a total or partial loss or degradation in service which is directly caused by an act of terrorism.

Regulatory claim expenses and shadow audit expenses - Covered claim expenses, shadow audit expenses and regulatory fines and penalties from certain regulatory proceedings against you.

Does Cyber-Liability insurance cover computer viruses?

 Yes. Cyber-liability has coverage for business interruption for when your computer systems go down due to a virus. it also provides defense coverage in the event your company accidentally sends a virus to a third party.

 

We have the ability to help secure your cyber-liability coverage quickly and efficiently

 

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Comments (22)

Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi
NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656 - New Lenox, IL
708.921.6331 - 40+ yrs experience

Frank:  Unbelievably timely and important info you provide here.  Especially in my personal situation, something to strongly consider ... and be aware of regarding the potential for issues arising.  I had no idea that this solution even existed ... so the education provided was warranted and very needed.  Thank you ...

Gene

Feb 12, 2013 10:15 AM
Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

Frank, No kidding. I can see where the need may be there but more insurance? I feel insurance poor at times.

Feb 12, 2013 11:02 AM
Emcee M. Arah
Remax Excellence - Silver Spring, MD - Silver Spring, MD
Realtor w/Architectural Dimension, AHWD CRS B-Arch

Very good information, Frank. This caused me to look at things from a different point of view. Thanks for this post.

~Emcee

Feb 12, 2013 11:18 AM
Frank Laisch
Orlando, FL
"The Insurance Guy"
Gene, I hope it's not too serious! Let me know if I can help Debbie, I hear that often about insurance. Until you actually need it Emcee, I hope this helps give you some ideas. Thanks for stopping by
Feb 12, 2013 11:20 AM
David Cole
David Cole CPA - Orlando, FL
David Cole CPA

Frank, this is very interesting. At first you scared the crap out of me with all the cyber liability. this is good to know

Feb 13, 2013 07:58 AM
Amy Stockman
Lakeridge Land Suveying & Mapping, LLC - Winter Garden, FL
Lakeridge Surveying

Frank, This is some good information. I have changed all my passwords to a longer and more secure. Thanks for the update

Feb 13, 2013 06:44 PM
Wallace S. Gibson, CPM
Gibson Management Group, Ltd. - Charlottesville, VA
LandlordWhisperer

I'm resisting having my property management software IN THE CLOUD.....I want more control on the information

Feb 13, 2013 07:25 PM
Frank Laisch
Orlando, FL
"The Insurance Guy"

David, didn't meant to scare you. :-)

Amy, Glad you strengthened your passwords

Wallace, We use some good cloud storage, they do Insure the data will not be compromised on their end, It is usually the users that get hacked

Feb 13, 2013 07:42 PM
Barbara-Jo Roberts Berberi, MA, PSA, TRC - Greater Clearwater Florida Residential Real Estate Professional
Charles Rutenberg Realty - Clearwater, FL
Palm Harbor, Dunedin, Clearwater, Safety Harbor

Guess there is indeed insurance for everything these days! I use Dropbox to share files and keep backup files plus Carbonite. Have for years...only my ibooks are on the cloud.

Feb 13, 2013 08:29 PM
Patricia Kennedy
RLAH Real Estate - Washington, DC
Home in the Capital

Frank, this is pretty scary!  A friend of mine had all of her electronic stuff hacked last month.  Luckily, she's not a Realtor, but what a pain it was. 

Feb 14, 2013 12:03 AM
Toni Weidman
Sailwinds Realty - Trinity, FL
20+ Years Selling Homes in New Port Richey, FL

Frank - who would have thunk it? But, yes, it can happen. Eeek - more insurance....

Feb 14, 2013 03:43 AM
Frank Laisch
Orlando, FL
"The Insurance Guy"

Barbara-Jo,  That is a good plan, make sure you have good strong passwords protecting them

Patricia, I hate to hear that happen to anyone. not a good ordeal to go through...

Toni, It is amazing the Liability that we have when clients scan & email copies of tax returns, bank statements and Drivers licenses to get their loan approved & into their home

Feb 14, 2013 09:30 AM
Patricia Kennedy
RLAH Real Estate - Washington, DC
Home in the Capital

Hey, Frank! I included this post in Last Week’s Favorites.  Enjoy the rest of your weekend.

Feb 17, 2013 12:58 AM
Frank Laisch
Orlando, FL
"The Insurance Guy"
Patricia, Thanks for sharing this in your weekly Favorites :-)
Feb 17, 2013 05:21 AM
Paula McDonald, Ph.D.
Beam & Branch Realty - Granbury, TX
Granbury, TX 936-203-0279
Yikes. Had not thought of this before. Geesh what next?
Feb 17, 2013 06:51 AM
Sabrina Schirmer
National Insurance Solutions, LLC - Winter Haven, FL

Very important piece of information for Realtors & Mortgage people. cyper protections is good have

Feb 17, 2013 11:01 PM
Steven Cook
No Longer Processing Mortgages. - Tacoma, WA

Frank -- thank you for this important point of information.  I am sure most of us didn't know it existed - and need a bit of time to factor it into our financial portfolios.   Came over from Pat's recommendations.  Suggested and will be reblogging.

Feb 18, 2013 04:02 AM
Frank Laisch
Orlando, FL
"The Insurance Guy"

Thanks Paula, Sabrina, & Steven for stopping by & commenting. This is something for everyone to think about. in our cyber- world, we have to make sure our Docs are protected

Feb 18, 2013 07:36 PM
John DL Arendsen
CREST "BACKYARD' HOMES, ON THE LEVEL General & Manufactured Home Contractor, TAG Real Estate Sales & Investments - Leucadia, CA
Crest Backyard Homes "ADU" dealer & Contractor

Great advertisement and one that I am quite frankly very happy to have read. I'll pass this along to other professionals.

Feb 19, 2013 06:59 AM
Anonymous
Russel Auvil

Good content like this isn't found often, so I am pleased it's here. Information like this is deserving of accolades. I see lots of comments.

May 14, 2015 01:51 AM
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