The ACE European Group announced the launch of Dataguard plus, an insurance solution for UK businesses which fully reflects the diversity of risks associated with e-commerce and the Internet.
ACE said the Dataguard plus policies provide “coverage for both first party exposures – such as business interruption as a result of a hacker attack, and third party exposures including intellectual property and privacy exposures associated with corporate web sites and online commercial activity.”
It also provides, under one policy, “two independent towers of indemnity for both first and third party exposures In order to ensure the balance sheet and assets of the insured receive the maximum protection at all times,” said the bulletin.
According to ACE, exposures relating to data privacy are set to become a growing challenge for organizations of all sizes, fuelled by an increasingly litigious business environment and the growth in global business. In addition, the affects of downtime on a corporate IT network can represent a substantial loss to a business. A survey in 2007 by Warwick Business School suggested that organizations in the financial sector face potential downtime costs of over £100,000 [$197,671) per hour.
Gareth Tungatt, ACE’ s Cyber Risk Senior Underwriter commented: “UK law is complex and evolving but the trend is moving towards stricter regulation on breaches and data losses. ACE Dataguard plus has been developed to provide a comprehensive cyber solution for businesses, addressing the full range of exposures and risks they face associated with the Internet and e-commerce.”
Commenting on the wider exposures, he indicated: “Most companies have a web site which, even if they are not transacting business online, opens them up to risks ranging from infringement of intellectual property and defamation through to invasion of privacy or transmission of computer viruses. Protecting themselves, particularly where web responsibilities are outsourced, is essential.”
Source: ACE European Group – www.acelimited.com
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