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As a result of Target's major data breach last year, insurance carriers are lowering coverage limits offering and raising prices on cyber liability coverage.

The Target data breach exposed personal information of 70 million+ Target customers and has resulted in numerous lawsuits against the retailer.

The data breach was caused by malware installed on its checkout registers, which led to theft of financial credit card information of millions of customers.

Businesses were able to purchase approximately $350 million of cyber risk insurance capacity, but after the Target breach, the new limit many carriers offer has been lowered to approximately $250 million. Businesses will also likely be paying higher premiums for this coverage.

As BCS previously reported, there has been a large upswing in companies purchasing cyber liability coverage over the last 3 years, and most analysts agree that despite these new coverage restrictions stemming from the Target data breach, the growth in acquisition of cyber liability coverage will continue on current trends.

Topics: COI, Cyber Liability, ERM, Insurance Certificate Tracking, Uncategorized, VENDOR CREDENTIALING, Vendor Risk, Vendor Risk Management

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