Cyber Liability

Why would my organization need Cyber Liability Coverage?
A large majority of non-profits, executive directors, boards of directors and risk managers are not
aware that their standard insurance coverages (Commercial GL, Property, D&O, crime) typically don’t provide proper
coverage for cyber liability. Most employees and IT professionals don’t know that they (along with their organization)
have an exposure to cyber risks and how that exposure can pose a significant financial threat to their non-profit.


•  Costs to comply with federal and/or state required notification. Per
individual, the average cost per record is estimated at $203
•  Regulatory proceedings(including fines and penalties) as a result of a
privacy breach. This includes HIPAA violations
•  Employees (teachers, volunteers) and/or groups of affected
individuals(alumni, current students, parents) suing for damages as a
result of a privacy breach
•  Liability for the transmission of malicious code to an outside party
•  Denial of service attack on your network, causing computer system to go
down and business interruption expenses
•  Intellectual property/privacy lawsuits. These include libel/slander arising
out of content that is on your internet or intranet sites


Third-party vendor that hosted a foundation’s website experienced a
security incident. Customers who donated to the organization may have
had their names, dates of birth and credit card information accessed

Adult day care’s computer network is down for 4 days as a result of a
Trojan horse attack and are unable to provide any services as a result.
There is a need to hire experts to correct their system and get it back to
where it was functioning

Animal shelter holding a golf tournament posts information regarding the
event on their website. As a result of the shelter not getting permission to
use a golf company’s logo, they are sued for copyright infringement