Insurance providers are leaving Business owners exposed because of loopholes and exclusions found in their policy documents.
“There are certain providers saying, ‘We can give you an insurance policy to help you in this cyber security space’, but when you really dig down into these policies, unless you have your house in order, unless you have your systems in place, the processes in place, that insurance won’t help you,” explains Nicole Billett of Teddington Legal during a recent appearance on the My Business podcast.
According to Nicole, SMEs are taking up cyber insurance in an attempt to protect themselves, in case they fall victim to a security/data breach. However the fine print is catching many policy holders off guard.
An example of the loopholes cyber insurance companies use to avoid making payment on a claim, Monica Schlesinger from Advisory Boards Group International says, that not updating your computer and its systems regularly can void insurance policies.
“If you do not patch your system, the insurance won’t cover you.” she says.