Sometimes the world of insurance is a scary place, because it deals with all sorts of potential losses and threats that can ruin an individual and/or a business. To some, it might seem like insurance overkill to try to foresee every eventuality, but to a top company like Erie Insurance, it’s their job. That’s why Erie is adding the option of Data Breach Coverage to protect their business customers. This coverage is scheduled to be effective on November 1, 2013.
Here is what Erie says about the risks associated with data breaches:
Data breaches are on the rise and all of ERIE’s states have notification requirements businesses must follow if a breach occurs. Many companies don’t realize how much Personally Identifiable Information (PII) they store on their customers, employees, and tenants, such as medical information, social security information, password information, banking information and credit card information. This can add up and be quite costly to any business that suffers a data breach. Data breaches can happen at any time. Below are some of the top causes of data breaches.
- Laptops or portable storage devices can be stolen from a place of business, home or parked vehicle; or be packed in luggage that fails to arrive at its destination.
- Documents containing PII can be posted, emailed, faxed, or sent to the wrong person or address.
- Documents, equipment and backup data tapes containing PII are improperly disposed of, recycled or are left unsecured, unaccounted for or exposed.
- Computer hackers can compromise accounts containing PII.
To protect our Customers from a costly data breach, ERIE has partnered with Identity Theft 911 (IDT911), a leading identity management and data risk management services provider, in order to offer our new Data Breach and Identity Recovery (IDR) products.
Erie customers who choose to add “Data Breach Responses Expenses Coverage” to their policies will receive the following benefits:
- Expenses to notify affected individual of the breach.
- Legal and forensic costs to determine the extent of the breach and how best to respond.
- Services to impacted individuals such as credit monitoring, a help line and identity restoration case management.
- Access to data security resources for your business.
- Crisis resolution for your business.
- The option to add Data Breach Liability coverage to cover third-party damages you are legally obligated to pay due to fraudulent use of nonpublic personal information of others that is lost, stolen or accidentally released, as well as costs to defend suits seeking such damages including settlement of a covered personal data breach suit.
Insurance overkill? You be the judge…….and call BRIS agent Ernie Hess when you realize your business may be at risk.