Is your Home Cyber Security Insurance in place?

When it comes to cyber attacks you might be vigilant at work, but have you considered your protection closer to home? It’s easy to drop your defences at home and think you’re immune to a cyber incident, or that you wouldn’t be of interest to cyber criminals. But while businesses of all types are ramping up their online security including taking out cyber insurance, cyber criminals are now turning their attention to home I.T. systems.

As more homes in the UK adopt smart devices and cloud-based services, the potential risk of attack increases. Home Cyber Security Insurance addresses this vulnerability and can include financial protection for:

What is covered through this insurance?

Home cyber protection is not usually covered under standard home insurance policies. However, at Lloyd & Whyte Private Client we have a number of specialist ‘high value home’ insurance products that either include Home Cyber cover automatically or that offer this as an optional extension to the policy. This type of coverage can insure for the following (please note: the description of coverages are examples and not exhaustive):

Damage

Home Cyber Insurance can meet the cost of investigating and repairing any damage to your home I.T. systems. It can also cover the cost of restoring lost or hijacked data but doesn’t usually cover the cost of recreating the data. It can pay for replacing I.T. programmes and restoring personal data such as music or photographs from your personal laptop, tablet or mobile phone.

This type of policy can also pay for the removal of a computer virus on your home systems and cover the cost of enlisting the help of a professional to advise on how to prevent your home systems being hacked or infected by a computer virus.

Fraud

If your personal funds, and under some policies, your personal documents or title deeds are stolen or transferred by a hacker, your insurance can cover the funds lost or the cost of replacing the documents. If a credit arrangement is made without your consent, the related financial loss will be reimbursed. In addition, the cost of transference of goods, services, property or money by hackers will be reimbursed by your insurance coverage.

Ransom

If (with agreement from your insurer), you have paid a ransom in response to a cyber threat, your policy can pay the value of the fees incurred by you hiring the services of a consultant to negotiate the terms of the ransom demand and the cost of the demand itself.

Liability

Should a hacker gain unauthorised entry into your personal email, social media or personal website resulting in a computer virus transferred to other organisations or members of the public, a compensation claim could be brought against you. Your Cyber Insurance can be used to settle any legal disputes or legal fees related to a judgement made against you.

If your intellectual property rights are infringed upon, or defamation, including libel, slander, or malicious falsehood be brought against you, your insurance can cover the cost of associated legal fees if a compensation claim is raised.

Please be aware that there are certain exclusions under this type of policy, and we encourage you to discuss these with your insurance broker when arranging cyber cover to ensure you remain fully protected.

What else can you expect from Home Cyber Insurance?

Similar to the commercial Cyber Insurance we provide, a Home Cyber Insurance policy offers access to a 24/7 helpline. Here you can get the advice and assistance of experienced fraud and cyber specialists. They will advise on which documents you need to provide as evidence of a cyber incident; which authorities and organisations you need to notify; how to liaise with banks to help you recover any money lost; and advice on securing your accounts and improving your online security including password changes.