Data breach coverage would help cover the cost of forensic and legal consulting services, reward and ransom payments, public relations services, as well as lost cyber business income from a cyberattack.
Fremont, CA: Cybersecurity may not be the prime concern of an agent when examining the risks their manufacturing clients face. Generally, agents gravitate towards traditional risks, such as product recalls, equipment breakdowns, and employees' injuries. Seeing the growing tech-dependency of the manufacturing industry, it becomes important for manufacturing clients to consider insurance solutions that could protect them and their companies against cyberattacks.
What are hackers looking for?
Hackers are more likely to look for manufacturers' trade secrets by stealing their intellectual property and technology rather than seeking their banking information. Manufacturers are vulnerable to certain risks, including ransomware and malware, that could hinder their entire operations, impacting their supply chains. Hackers recently reached to the computer control modules and critical operating systems of a small number of several popular consumer vehicles. The resulting recall of over 1.4 million vehicles highlighted the importance of broader insurance coverage since it can be difficult to predict the full impact of a hack.
Industry 4.0 enables independent agents to talk with their manufacturing clients and get a better understanding of their cyber risks. Depending on those discussions, independent agents can guide their manufacturing clients on appropriate coverages such as:
• Data breach coverage would help cover the cost of forensic and legal consulting services, reward and ransom payments, public relations services, as well as lost cyber business income from a cyberattack.
• Manufacturers' errors and omissions coverage can give protection against financial losses from lawsuits arising from allegations that services or products do not perform as expected.
• Cloud computing service interruption coverage would help cover costs for data repair and restoration services, lost business income, data research, and extra expense when a cloud service provider has an outage caused by an equipment breakdown.
See also: Top CyberSecurity Companies