Cyber-attacks are the fastest-growing threat to modern businesses, with billions of attempts by hackers every year.
In this month’s Cyber Blog from MGAM, we look at how the MGAM Cyber Policy could provide support when you need it most.
What happened?
The Insured is a digital marketing company which includes web design, development and hosting.
Customers of the Insured advised them that websites hosted on one of their servers were displaying unusual information and redirecting users to undesirable sites.
The server hosted over 75 websites ranging from simple brochure sites to e-commerce sites.
Where is this covered?
Data Recovery Expenses are insured events under the Insuring Clauses of the MGAM Cyber policy.
Coverage intent
Where data (including software and programs) is damaged or corrupted due to a cyber-attack, the policy will pay the costs incurred to restore or replace this data to the condition it was in prior to the damage where possible.
What was the outcome of the claim?
The Insured notified Insurers and an Incident Manager was appointed on a without prejudice basis to assist the Insured.
Within a 2-Hour SLA, the Incident Manager arranged for the Insured to appoint an IT forensics specialist from the Insurers’ panel to investigate.
The vulnerability within a remote desktop protocol was identified and secured. Following this, the Insured undertook significant work to review and repair the 75 websites; originally developed over a 5-year period.
The costs of doing so, totalling approximately £115,000, were indemnified by Insurers as a combination of business interruption loss and data restoration costs.