(BRK.A), (BRK.B)
Information technology security is constantly in the news, so it’s a natural area for increased insurance coverage as consumers and businesses look to protect themselves from the damaging consequences of getting hacked. As Target Stores and other retailers have discovered, cyber fraud can bring liability for third party exposures to data security and privacy breaches.
Berkshire Hathaway Specialty Insurance (BHSI) is now offering two new policies providing cyber liability and breach response coverage with risk management resources, the Professional First™ Network Security & Privacy Policy and the Professional First™ Professional Liability and Network Security & Privacy Policy. The latter also includes customizable errors and omissions (E&O) liability coverage.
“Our experienced professional liability team is providing solutions to simplify for customers the complex work of managing professional liability and cyber exposures,” said Danielle Librizzi, Senior Vice President, Head of Professional Liability. “We are pleased to bring to market comprehensive, flexible coverage, backed by BHSI’s commitment to service and financial strength.”
The Professional First™ Professional Liability and Network Security & Privacy Policy provides E&O coverage for technology and specified miscellaneous services. Both policies include multi-faceted network security and privacy liability insurance and risk management resources, which can be tailored for professional services firms of all types, from technology enterprises, to financial institutions, to law firms.
Highlights for both policies include:
• Coverage for third party exposures resulting from data security and privacy breaches, including regulatory investigations, fines and penalties.
• Breach expense and extortion threat coverage, addressing the wide range of direct expenses an Insured incurs to effectively respond to a breach or extortion threat.
• Media liability coverage, which responds to traditional media exposures (e.g. through a company’s website) arising from electronic content.
• Business interruption coverage to pay lost income and related expenses incurred as a result of the Insured’s business’ partial or full interruption due to a network security failure.
• Online access to eRiskHub®, which provides state-of-the-market tools and resources to help policyholders understand cyber exposures, establish a breach response plan, and prepare to mitigate the impact of a breach on their organization. eRiskHub is provided via NetDiligence, a leading cyber security and e-risk assessment firm.
About Berkshire Hathaway Specialty Insurance
Berkshire Hathaway Specialty Insurance provides commercial property, casualty, healthcare professional liability, executive and professional lines, surety, travel, programs, and homeowners insurance. It underwrites on the paper of Berkshire Hathaway’s National Indemnity group of insurance companies, which hold financial strength ratings of A++ from AM Best and AA+ from Standard & Poor’s. Based in Boston, Berkshire Hathaway Specialty Insurance has offices in Atlanta, Boston, Chicago, Fort Lauderdale, Houston, Los Angeles, New York, San Francisco, San Ramon, Stevens Point, Hong Kong, Melbourne, Singapore, Sydney and Toronto.
© 2015 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.