The who, what, & why of cyber liability
WHO Needs Cyber Liability Coverage?
Any company engaged in providing computer services, Internet services or those companies using the Internet in its everyday course of business.
WHAT Activities Create Cyber Risk?
- Use of Email
- Support of Webmail
- Internet Service Providers
- Dependence on Network Services
- Electronic Storage of Customer Information
- Storage of Third-Party Trade Secrets and Data
- On-Line Advertising and Marketing
- Web Site Design, Development & Ecommerce
- Web Site Activities (Content, Links)
- E-Bill Payment
- Internet/Digital Media
- Electronic Bulletin Boards or Social Interaction
WHY Does My Customer Need Cyber Coverage?
A General Liability policy will cover a physical injury to TANGIBLE property. Information is not
TANGIBLE property. A General Liability policy also EXCLUDES electronic data.
1. Trademark Liability
When one of their customers misuses a trademark of another, the ISP may very well face possible liability under the theory of contributory trademark infringement. Much like contributory copyright infringement as discussed in the Netcom case above.
2. Security Breach
Privacy Rights Clearinghouse (PRC) is a nonprofit consumer organization with a two-part mission; consumer information and consumer advocacy. Established in San Diego in 1992, it is primarily grant supported and serves individuals nationwide. This website has a lot of useful privacy information.