Cyber Insurance Terms
Theft of Funds - Theft of funds resulting from cyber incidents or hacking
Phishing - Attempt to obtain sensitive information such as usernames, passwords, and
credit card details (and sometimes, indirectly, money), often for malicious reasons, by
masquerading as a trustworthy entity in an electronic communication
Email Spoofing - Any forgery or wrongful manipulation of an email so that the receiver of
such a message is misled to believe that the email is real and therefore trusts the faked
origin of the message.
Identity Theft - Theft of personal data over the internet which has resulted or could
reasonably result in wrongful use of such personal data
Online purchase transactions - Direct and pure financial loss due to transactions on the
internet via payment card or digital wallet that has been dishonestly induced to enter by
a third party by electronic means to make a purchase of goods or services which are not
delivered or rendered
Data Restoration / Malware Decontamination - Cost incurred to restore data or to
decontaminate or clean personal devices or Smart devices
Cyber Bullying, Cyber Stalking and Loss of Reputation - reasonable and necessary costs
incurred for civil proceedings against a third party for committing cyber bullying or cyber
stalking
Cyber Extortion - costs to resolve Cyber Extortion including reasonable and necessary
legal costs as well as any ransom paid
Social Media and Media Liability - any sum for which insured is legally liable including
legal cost arising from a third party claim for any unintentional: Defamation, Breach of
copyright, title, slogan, trademark, trade name, service mark, service name or domain
name, or breach or interference of privacy rights resulting from Your online media
activities including activities in social media.
Network Security Liability - any sum for which insured becomes legally liable including
legal cost arising from a third party claim for a cyber-incident on personal devices that
insured failed to prevent and which has caused damage, alteration, destruction or theft
of data or a DoS attack on third parties’ computer systems.
Privacy Breach and Data Breach Liability - any sum for which insured is legally liable
including legal cost arising from a third party claim for any unintentional data breach
relating to confidential information or personal data of a third party.
Privacy Breach and Data Breach by Third Party - legal costs incurred by the insured for
claims for damages filed by insured against a third party for data breach relating to
confidential information or personal data, provided the third party has communicated in
writing to the insured or has acknowledged publicly by electronic or print media the
occurrence of a data breach of confidential information or personal data
E-Theft Loss means loss resulting directly from an Insured having transferred, paid or
delivered any funds or property, established any credit, debited any account or given any
value due to the fraudulent input of Data either directly into an Insured’s System or
through a Network into an Insured’s System.
E Communication means loss directly from a customer, financial institution which has
transferred, paid or delivered any funds or property on the faith of fraudulent
communicating purporting to be directed by an Insured which was either not sent by
Insured or fraudulently modified during electronic transmission for which Insured is
legally liable
E-Threat - Loss solely and directly as a result of a Threat made directly to an Insured
during the Policy Period.
E-Vandalism Loss means the cost incurred by an Insured of the blank media and the cost
of labour for the actual transcription or copying of Data or Media furnished by an Insured
in order to reproduce such Data or replace such Media from others of the same kind or
quality where such cost results directly from the alteration, damage, deletion or
destruction of Data, which is owned by an Insured or for which an Insured is legally liable
Business Income Loss; and Extra Expenses, incurred during the Period of Recovery of
Services resulting directly from Fraudulent Access or Transmission which causes an actual
or potential impairment or denial of Operations during the Policy Period.
Extra Expenses means reasonable expenses an Insured incurs in an attempt to continue
Operations that are over and above the expenses such Insured would have normally
incurred.
Conduit Liability means loss sustained or allegedly sustained by a person because a
System cannot be used, or is impaired, resulting directly from: a Cyber-attack into an
Insured’s System, provided such Cyber-attack was then received into a third party’s
System; or a natural person who has accessed a System without authorization, through
an Insured’s System,
Impaired Access Liability - Impaired Access Liability means loss sustained or allegedly
sustained by a Customer authorized to access an Insured’s System because such access
has been impaired or denied resulting directly from Fraudulent Access or Transmission
Disclosure Liability means loss sustained or allegedly sustained by a natural person
because of the potential or actual unauthorized access to such natural person’s Record
by another person when such access results directly from a Cyber-attack into a System
owned by an Organization
Content Liability - loss sustained or allegedly sustained by a person because of the actual
or alleged infringement of: a collective mark, service mark, design right or trade mark
name, slogan, symbol or title; a copyright; the name of a product, service, or
organization; or the title of an artistic or literary work, resulting directly from Cyber
Activities of an Insured
Reputational Liability means loss sustained or allegedly sustained by a person because of
an actual or alleged: defamation, libel or slander of such natural person; or violation of
such person’s rights of privacy or publicity, resulting directly from Cyber Activities of an
Insured
Crisis Expenses means reasonable costs, charges, fees and expenses (other than regular
or overtime wages, salaries or fees of Insured Persons or office overheads, travel costs
unrelated to a Claim or loss or other administration costs) incurred by an Organization
Privacy Notification Expenses means the reasonable costs incurred by an Insured
resulting from Disclosure Liability or Reputational Liability of: notifying persons who may
have sustained such an injury
Reward Expenses means the reasonable amount paid by an Insured, with the prior
approval of the Company, to an Informant for information not otherwise available which
leads to the arrest and conviction of persons responsible for a Cyber-attack, Fraudulent
Access or Transmission