The Relationship Between Cyber Liability and Commercial Crime
Were you aware that employee theft is considered to be one of the largest vulnerabilities of commercial crime? As we discussed in a post titled “Why Your Clients Need Commercial Crime Insurance”, employee theft is just one of the crime-related exposures your business clients face. Another common risk businesses face is computer fraud. Computer fraud can be a result of a dishonest employee, vendor, or even customer. No matter who the culprit is though, it’s important to note the relationship between cyber liability and commercial crime.
Commercial crime is when a person commits fraud in order to deceive a person or company to get goods and money. Commercial Crime Insurance provides your clients with the financial protection they need if they are faced with this fraud. Cyber Liability Insurance, or Privacy & Network Security, helps your clients manage and protect their data loss risks.
Some businesses may still view cyber-crimes as random events, and think that “it will never happen to them”, so they do not include privacy and network security as part of their commercial crime coverage. However, a data breach can lead to severe consequences for you and your customers, such as devastating financial losses and damage to their reputation and brand.
There are few insurance products complex as cyber insurance, but one thing is certain; it’s necessary for all businesses to have. But having cyber liability insurance alone may not be enough, which is why your clients should add commercial crime insurance.
At PL Risk Advisors, we offer comprehensive Commercial Crime Insurance coverage for all industries and types of business. We can also assist you in helping your clients develop a risk management program that combines security controls along with a properly structured insurance policy that meets their needs. To learn more about this program as well as our Privacy and Network Security services, please contact us at (855) 403-5982.