What is Covered by Cybersecurity Insurance in Louisiana?

Businesses from healthcare to hospitality to banks to private clients suffer a similar fate. This fate is cybercrime. Louisiana is not new to cybercrimes.

An article in Nola.com dated July 9th, 2023 reports a cybercrime wreaked on Louisiana. It states thus: “A massive cybersecurity breach last month led to the release of six million Louisiana Office of Motor Vehicles Records …of almost all Louisiana residents.”

If a corporation as that can come under cyberattack, any corporation can be attacked. Being covered by cybersecurity insurance is important to forestall these occurrences. It can also bail you out of one when it happens to you.    

A cyberattack can have dire consequences on the business; affecting it for many years. It is to this end that Cybersecurity insurance is important.

www.govtech.com reports that a group was put together to respond to cyberattacks. This group is called “Emergency Support Function 17”.

It is recorded that “since … 2019, the group has responded to more than 130 attacks on state and local governments, organizations operating critical infrastructure and others …”. Dustin Glover remarks that despite the efforts to curb cybersecurity challenges that “it hasn’t stopped”.

You don’t need to be affected before you respond. With cybersecurity insurance, you are playing on the offensive in case of a cyber-attack.

The following are what is covered by cybersecurity insurance in Louisiana:

1. Data Compromise Protection

In the eventuality that the private information of an employee or a customer is compromised, the insurance covers this. The cybersecurity insurance takes responsibility if client’s information was hacked into.

The employee or customer with this insurance is shielded from the result of a data breach.

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2. Forensic Research into the Extent of the Data Breach

The cybersecurity insurance goes as far as making a detailed inquiry into the nature of the breach. It is not the victim of cyber attack that responds to the attack. The insurance they have covers the inquiry to the extent, nature and the people behind the attack.

This will be at no cost to the client. The insurance company takes over everything and sees to it that the privacy of the client is protected.

3. Legal Defense Cost

In the account that the client is sued as a result of the data breach, the insurance company takes over the cost for legal defense. The client does not have to pay, the insurance company takes over.

The client does not have to watch their backs. The cybersecurity insurance that they have insures them from legal fees. This fee is incured from tying to resolve the breach in the client’s personal information.

Getting justice after suffering from cyber attacks can be gruesome. This can prevent them from getting justice and retrieving their records. It is at this point that cybersecurity insurance comes to the rescue.

4. Identity Recovery Coverage

Cyber attackers go after the identity of their victims. When they are done with the credit history and identity records, they leave their victims frustrated.

Many victims of cyber attacks give instances of the frustration of trying to repair their identity. It is both time consuming, cost-effective and excruciating to say the least.

Cybersecurity insurance takes over the recovery of records that were hacked into. This not only saves the victim money but valuable time that would have been spent in a rat race.

Identity recovery coverage is a premium product in every cybersecurity insurance company in Louisiana.

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5. Public Relations Cost

McAfee puts the cost for cybercrime in the global economy at a staggering USD $1tn in 2020. It is estimated to grow at an alarming rate in 2025. Cybersecurity Ventures estimates a hike in the cybercrime in 2025 to USD $10.5tn.

These statistics show that cybersecurity is a serious matter.

Cybersecurity insurance also provides public relations services. It does this by reviewing the impact or otherwise of data breaches. In this capacity, the insurance helps clients to play safe in the muddy water of cybercrimes. it also protects the client’s digital assets.

The end of cybercrime is not in sight. Protecting yourself against cybercrimes is invaluable. An effective way to do this is to have cybersecurity insurance.

6. Personal Cyber Coverage

Cybersecurity insurance also handles the individual problems that clients may have. It shields clients and their families from cyber-related crimes.

These crimes can be cyberattacks, cyber extortion, online fraud or identity theft. Also, data breaches, deceptive transfer fraud and cyberbullying.

The state of Louisiana has had its unique history of the above cybercrimes.

Llcbuddy.com says that Louisiana leads the list of unflattering cyberbullying. In 2016, Heliyon conducted a survey on women. It showed that 56.8% of respondents had previously been cyberbullied.

Cyberbullying is a modern-day reality as well as the others listed earlier. Cybersecurity insurance makes sure that cyberbullying and cyber-related crimes are dealt with.

7. Tailored Design Insurance Services

As it relates to cybersecurity, the products involved are diverse. They are tailor-designed to fit the peculiarities of organizations and individuals. The needs that one client (organization and individual) has differs from the other.

Cybersecurity insurance covers all the cyber-related cases that clients may have. This is so that clients may go about their online activities as smoothly as possible.

The elimination of cyber-related crimes eradicates the friction of doing business. A lot can happen when you fail to properly protect your private information and it gets into the wrong hands.

In Louisiana, having cybersecurity insurance is key to protecting your private information. it is also key to getting justice when there is a breach of your privacy.

Also Read: Read This Before Making a Business Insurance Claim in Louisiana

Conclusion

Cybersecurity insurance over the years has proven to be a must-have. It has saved the private information of many from been hacked. Insurance companies that offer cybersecurity policy in Louisiana do this through a list of products that it provides to its clients.

It has helped many from the palaver of getting justice for cyber-related crimes. Some clients do not know what to do when their records are tempered with. Some go as far as contemplating suicide.

Cybersecurity is indispensable for your business and any other expression of yourself online.

Get cybersecurity insurance.