Cyber Insurance Sales and Marketing Tips

With daily news of cyber breaches and hacks, it’s remarkable Agents still report of customers who say “we’re too small, and it just won’t happen to us.” If you’re marketing or selling cyber insurance to first-time buyers, always include relevant loss and claim examples. The following breach sources help you locate real incidences that have occurred in virtually every type of organization:

  • http://datalossdb.org/
  • http://www.databreaches.net/
  • https://www.privacyrights.org
  • http://www.melamedia.com/HIPAA.Stats.home.html
  • https://ocrportal.hhs.gov/ocr/breach/breach_report.jsf

Another objection reported from prospects is “we’re too small, we couldn’t have a big loss.” Most prospects, even most insureds who already have cyber insurance, have little knowledge of all the ways they could sustain a loss, the amount of that loss, nor the cyber perils a good policy will cover. The following coverages are available for virtually every organization, and none of these losses was ever intended to be insured by property, CGL, E&O or umbrella forms. So a cyber policy is the best option for:

Your First Party Costs:
 Business Interruption and Extra Expenses
 Dependent Business Interruption
 Extortion & Terrorism
 Data Reconstruction and System Damage
 Reputational Harm and Public Relations
 Funds stolen from your online bank accounts

Your Third Party Liabilities
 Tort Liability—Privacy Liability coverage
 Contractual Obligations—vendors, suppliers, customers, PCI compliance
 Regulatory Obligations—Regulatory Response coverage
 Media Liabilities—Defamation, Intellectual Property Infringement, Invasion of Privacy, Content liability

Your Breach Response & Mitigation costs
 Network Security coverage
 Notification costs and Credit Monitoring
 Forensic expenses
 Call Centers
 Consumer Redress Funds
 Public Relations.

Recently we learned a so-called “discrete dating website”, Ashley Madison was hacked. This involves up to 37 million individuals, granted, there’s no relevance to your average SME (small medium enterprise), but it’s simply titillating and maybe something certain prospects can identify with. 🙂

For more resources, tools, reports and advice about marketing cyber insurance, consider joining the cyRM – Cyber Risk Manger Group on LinkedIn. You’ll need to complete the cyRM Course first – if you’re an Agent in the ARM network, email us for complimentary access.

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