Tag: Dallas cyber liability insurance

Two Cyber Liability Insurance Lawsuits with Different Outcomes

In the past two years, there have been two very interesting lawsuits over the question of whether or not commercial general liability insurance policies contain coverage for cyber liability. The two lawsuits had very different outcomes which may appear to muddy the waters regarding when cyber liability is covered and when it is not covered by a general liability policy. Let’s take a look at both lawsuits and where I think this may go.

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Cyber Liability Insurance and Sony’s Lawsuit

Before the data breaches at Anthem, Home Depot, Neiman Marcus, and Target, there was Sony. In 2011, the Sony Playstation Network was hacked resulting in the theft of customer data. Sony pushed to have their insurer, Zurich, cover the losses resulting from the data breach, but Zurich denied the claim. Sony had a general liability policy, but not a cyber liability policy with Zurich.

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Identity Theft and the Anthem Data Breach

Anthem, the second largest health insurance company in the US, announced last week it had been the victim of a massive data breach. The good news appears to be no medical records or credit card data was compromised. The bad news was the names, birth dates, and Social Security numbers of up to 80 million people were compromised which could lead to an even bigger problem than had they simply taken credit card data.

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