Top Cybersecurity FAQs: Startups and Emerging Businesses
Q: Does my business need cybersecurity insurance?
Due to the high level of cyber risk in today’s business environment and exclusions for cyberevents in other types of insurance policies, most businesses need cyber liability insurance coverage. However, the terms and exclusions contained within cyber insurance policies vary widely, so businesses should select and review cyber policies carefully. Obtaining legal assistance in assessing policy terms is recommended to ensure the policy adequately addresses risks unique to the business. Furthermore, startups and emerging businesses should pay attention to exclusions, such as coverage exclusions for failure to obtain minimum security standards, to ensure that they do not fail to adopt necessary cybersecurity measures and thereby undermine the coverage they have purchased.