Increasing Demand for Cyber Insurance

Increasing Demand for Cyber Insurance

By Jennifer Osborn Nix

Due to the number of large data breach attacks in the past few years, more companies are recognizing how important it is to have cyber insurance coverage or to increase their coverage, and insurers have been streaming in to meet the market demand. Cyber insurance is a relatively new product, that first began being offered in the market in the mid to late 1990’s. Articles from 2010 discussing cyber security mentioned that there were “a few carriers” offering stand-alone cyber insurance products. Today, however, it is reported that there are over sixty carriers offering cyber insurance policies, with over $2 billion spent on coverage in the market. By 2020, there are estimates that the cyber insurance market will triple in growth to about $7.5 billion.  

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Small Email Mishap Affects 9,400 Retirement Plan Participants

Small Email Mishap Affects 9,400 Retirement Plan Participants

By Mary Kathryn Curry

Late last month Schwab Retirement Plan Services (Schwab) sent an accidental email to a participant in another retirement plan, also serviced by Schwab, with a spreadsheet attached containing personal information of approximately 9,400 plan participants. The spreadsheet included information such as names, addresses, dates of birth, Social Security numbers, employment statuses, marital statuses, and account balances belonging to participants in a company-sponsored retirement plan. Soon after receiving it, the recipient of the spreadsheet informed their plan sponsor, who then contacted Schwab. The good news is, Schwab does not believe anyone’s personal information was compromised. In a letter to plan participants, Schwab indicated that though participants’ personal information was exposed, Schwab has confirmed that the email and attachment have been deleted from the company’s email and server, and that the email was not forwarded. Schwab has, nonetheless, recommended that each participant monitor recent and future account statements carefully, check their credit reports regularly, and it has offered a free one-year credit monitoring subscription to assist participants in protecting their information. Schwab also confirmed that it is taking steps to prevent similar incidents in the future.

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New State Cybersecurity Laws and Requirements in the Insurance Industry

New State Cybersecurity Laws and Requirements in the Insurance Industry

BySteven L. Imber, Jennifer Osborn Nix, and By Daniel L. Farris

Recent high profile data breaches involving large, prominent insurers have caused state insurance regulators to ramp up efforts related to cybersecurity issues.  These breaches have impacted tens of millions of individuals at a time, and resulted in multi-state market conduct examinations with each examination involving 50 plus jurisdictions. 

For more information on market conduct examinations, insurance regulation of cybersecurity risks and on new state data security laws, please click below.

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