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Your Insurance: Cyber coverage

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In our connected world, online shopping and social media may allow cyber attackers to infiltrate our home, steal our identities and disrupt our lives. In this article, we’ll provide some education and guidance related to the availability of cyber coverage that may now be available through your homeowner’s insurance policy.

How can I make sure I’m covered for cyber-related attacks? 

Endorsements to existing homeowner’s policies are now available that may cover identity recovery costs, online fraud coverage and even pro-active monitoring. The most important thing for consumers to remember is to check with your insurance agent to see what is available and how to enroll. 

How much does a typical cyber coverage endorsement cost?

Some insurance carriers include a form of cyber coverage at no extra cost while others make endorsements available starting at around $50 annually. Most coverage limits start at $25,000 and higher limits are available. 

What types of cyber coverage are typically bundled together? 

Consumers should look for the broadest coverage possible that will protect them from the following cyber threats:

  • Identity recovery
    Covers legal fees, notary fees, credit bureau reports and other expenses and services to restore stolen identity.
  • Online fraud
    Covers direct financial losses due to a fraud event, including identity theft or unauthorized use of a card or account number. Exceptions apply.
  • Cyberextortion
    Covers the costs related to an extortion threat, including assistance from experts to help the insured regain files or reimbursement for ransoms paid.
  • Cyberattack
    Covers the cost of a professional firm hired to replace electronic data that has been lost or to restore a compromised device to its level of functionality before the cyberattack.
  • Cyberbullying
    Covers mental health counseling to recover from related trauma, as well as temporary relocation and private tutoring expenses.
  • Data breach
    Covers financial and legal costs associated with personal data entrusted to the insured being lost, stolen or published.

What are some examples of cyber coverage?

  • You are tricked into giving a phony mortgage company your SSN and bank information through a very realistic e-mail. You don’t realize it’s a scam until it’s too late. A Cyber Coverage Endorsement’s Online Fraud Coverage would reimburse you for the phony transactions not covered by your bank. 
  • You open an e-mail that unleashes a virus on your home computer and renders it unusable. You need to hire an expert to reinstall your PC and restore your data. In this instance, Cyber Coverage Endorsement’s Cyberattack Coverage would cover the cost of repair and hiring a technician. 

Working with families as their trusted insurance advisor is what we do every day. Connect with us for an insurance review and to discuss ways to protect your digital presence with cyber coverage. 

Flury-Hinderks Insurance is an Independent Insurance Agency located in Overland Park and is a trusted advisor for thousands of families in Johnson County. Contact Flury-Hinderks Insurance today for a comprehensive insurance review.