Ullico Update: The New World of Cybersecurity

What is a Cyber Breach?

Any incident that results in unauthorized access to computer data, applications, networks or devices
Results in information being accessed without authorization
Typically, it occurs when an intruder is able to bypass security mechanisms

Types of Cyber Breaches

Malware (Malicious Software)

Viruses, trojans, and other destructive computer programs that infect systems and networks to gain access to sensitive information
File or code, typically delivered over a network, that infects, explores, steals, or conducts behavior that the attacker wants

Phishing

Online scam that targets consumers by sending email that appears to be from a well-known source
Asks consumer to provide personal identifying information
Scammer uses information to open new accounts or invade the consumer’s existing accounts

Ransomware

Malware which targets both human and technical weaknesses in an effort to make critical data and/or systems inaccessible
Delivered through various vectors, including phishing and Remote Desktop Protocol, which allows computers to connect to each other across a network
Encrypts data on computer system, making it unusable
Criminals hold data hostage until a ransom is paid

Vishing (Voice Phishing)

Defrauding people over phone, enticing victims to divulge sensitive or confidential information
Phone version of email phishing

Cybersecurity Program Best Practices

Formal, well documented cybersecurity program
Conduct prudent annual risk assessments
Reliable annual third-party audit of security controls
Clearly define and assign information security roles and responsibilities
Have strong access control procedures
Ensure any assets or data are stored in the cloud or managed by a third party service provider and are subject to the appropriate security reviews and independent security assessments
Conduct periodic cybersecurity awareness training
Implement and manage a secure system development life cycle (SDLC) program
Business resiliency program, which effectively addresses business continuity, disaster recovery, and incident response
Encrypt sensitive data, stored and in transit
Implement strong technical controls in accordance with best security practices
Appropriately respond to any past cybersecurity incidents

Cyber Liability Insurance

Benefit trust funds and unions strive to provide the best possible benefits and conditions for workers. In carrying out these goals, they have access to personal information, such as social security numbers and home addresses, of their participants and members. If this data is lost, most states mandate that the entity must respond in a timely manner by notifying potentially affected individuals, regulators, and the press.

Ullico Casualty Group, LLC has partnered with a strong cyber liability insurance provider so that our policyholders have access to both cyber breach response resources and cyber liability protection.

Coverage highlights include:

Privacy liability
Breach notification with data breach counsel and a network of experts, including credit monitoring services
Multimedia liability coverage
Crisis Management and Fraud Prevention Expense
Regulatory actions
Ransomware – Cyber extortion
Business Interruption – Business income and digital asset restoration
Electronic fraud sub-limits
Limits range from $250,000 to $2M with higher limits available upon request