Get Started

What Is Cyber Insurance?

Cyber insurance can help pay covered response costs and claims against your business after a cyber incident. If your business relies on data, software or outside providers, compare response limits, vendor outages and approval rules.

Get quotes with Spot

Get quotes for Cyber Insurance from insurers through Spot, with help comparing terms as well as price.

Get Cyber Insurance quotes with Spot

Spot prepares your submission and works with your broker to take it to market.

What Does Cyber Insurance Cover?

A breach can trigger immediate response invoices, while a customer claim may arrive later. 1 1

Your Business’s Own Costs

First-party coverage can help pay your business’s covered breach-response and data-recovery costs, plus income lost during a covered interruption. 1

Claims Against the Business

Third-party coverage can address covered claims against your business, including legal defense and settlements after a data breach. 1
ConcernAsk the insurer
Responding to an incidentWhich response services and costs does the first-party coverage address?
Recovering dataWhat data-recovery coverage and limit does the quote include?
Interrupted operationsWhat income protection applies, and what event triggers it?
A claim against your businessWhat liability coverage, defense arrangements and limit apply?
1 1 3

Who Needs Cyber Insurance?

A breach can leave you paying for investigators, data recovery and customer claims; an outage can also halt sales. 2

Cyber Insurance Coverage Examples

What happened

Customer Records Are Stolen

An attacker steals records from your customer database. You hire investigators, and affected customers demand compensation.

How coverage may help

First-party coverage may pay your response costs. Third-party coverage may pay to defend customer claims and settle covered losses. Both need to be included in your policy. 1,3

What happened

A Vendor Outage Stops Orders

A cyber incident takes down your hosted ordering system, leaving you unable to process sales.

How coverage may help

Interruption coverage may help replace lost income, but an incident at an outside vendor must meet the policy's terms. The trigger and any separate limit matter here. 1,3

How Do You Compare Cyber Insurance Coverage and Costs?

Limits and Retentions

A cyber policy can have an overall limit and smaller limits for particular costs. Compare the amounts for response, recovery, interruption and liability, along with what your business pays first. Two quotes with the same headline limit can leave you with different amounts available for the incident you're concerned about. 3

Response Services and Approval

Before an incident, find out whom you should contact, which response specialists you can use and whether you need insurer approval before spending. 3

If you already work with a technical or legal adviser, confirm whether you can use them under the policy and what approval they need. 3

What Exclusions and Conditions Should You Check in Cyber Insurance?

Timing and Earlier Incidents

Ask what triggers each coverage section and how prior incidents, reporting deadlines and retroactive dates affect your claim. 3

Vendors and Geographic Scope

Ask whether your coverage extends to incidents involving vendors that hold your data and fits the places where you operate. 1

How Does Cyber Insurance Compare With Related Coverage?

Ask separately whether your quote covers funds-transfer fraud; cyber insurance may not cover money your business loses to theft. 3

What Do You Need for Cyber Insurance Quotes?

Systems, Data and Dependencies

List the systems, data and outside services your business relies on, and identify which operations would stop if they became unavailable. 2

Security Controls and Response Planning

Be ready to describe your backups, access controls, software updates, staff training and incident-response plan. 2
PrepareHow to use it in the discussion
Systems, data and service inventoryIdentify what the business relies on and what an incident could interrupt.
Outside providers holding business dataDiscuss vendor-related coverage questions.
Backup and recovery arrangementsExplain how you would approach recovering affected data.
Access, update and training practicesDescribe the controls actually used by the business.
Incident-response plan and contactsCompare the plan with policy notice and approval processes.
2 2 3

Frequently Asked Questions About Cyber Insurance

Does Cyber Insurance Cover Money Sent to a Fraudster?

Not automatically. Funds-transfer fraud and social engineering need explicit attention in the cyber and crime terms. 3

Can I Choose My Own Incident-Response Firm?

The policy may restrict your choice or require approval before you spend money. Confirm the response contacts and any preferred firm's eligibility before an incident. 3

What Is the Difference Between First-Party and Third-Party Cyber Insurance?

First-party protection addresses your business's covered costs, such as breach response, data recovery and lost income. Third-party protection addresses covered claims against the business, including defense and settlements arising from a breach. 1 1

Can Cyber Insurance Cover a Breach at a Vendor?

It can, but check whether the policy extends to incidents involving vendors that hold your data. Also confirm that its geographic scope fits where your business and its providers operate. 1

What Does Cyber Insurance Cover?

Cyber insurance can cover selected response costs and liability claims after a covered incident, but coverage depends on the policy’s specific grants and limits.

Read the full answer

What Is the Difference Between First-Party and Third-Party Cyber Insurance?

First-party cyber insurance pays covered costs your business incurs; third-party coverage responds to covered claims others bring against you.

Read the full answer

Does Cyber Insurance Cover a Hacked Email Account?

Sometimes—a hacked email account may trigger cyber coverage if it meets the policy’s unauthorized-access definition.

Read the full answer

Does Cyber Insurance Cover AI Agents?

Sometimes. Cyber insurance can cover an AI agent incident that exposes data or causes unauthorized system activity, but only if it fits the policy's covered events and exclusions.

Read the full answer

Does Cyber Insurance Cover AI Data Breaches?

Often—cyber insurance can cover an AI-related data breach when the exposed information, vendor, event, and resulting costs meet the policy definitions.

Read the full answer

Does Cyber Insurance Cover AI?

Sometimes. Cyber policies rarely name AI, so an AI-related loss is covered only if it fits a covered event, like a breach or outage, and dodges the exclusions.

Read the full answer

Does Cyber Insurance Cover Business Email Compromise?

Sometimes—cyber insurance may cover investigation of a compromised mailbox, but reimbursement for a diverted payment often depends on separate funds-transfer or social-engineering coverage.

Read the full answer

Does Cyber Insurance Cover Business Interruption?

Sometimes—cyber insurance may cover income losses and continuing expenses after a covered security event or system failure interrupts operations.

Read the full answer

View all 48 questions

Questions to Resolve Before Buying

What Coverage Is Related to Cyber Insurance?

  • What Is Crime Insurance?

    Crime insurance can help reimburse specified business losses from theft and fraud, including employee theft and forgery. Compare those protections separately and ask whether a payment sent after an impersonation scam is covered.

  • What Is Digital-Asset Insurance?

    Digital-asset coverage may address custody, theft and business-liability risks, but a custodian’s policy may protect the custodian rather than you. If you hold or safeguard assets, verify the insured entity, wallets, key-loss protection and valuation.

  • What Is Technology Errors and Omissions (E&O) Insurance?

    Technology errors and omissions coverage can help pay when a customer claims your software, hosting, installation or technology advice caused financial loss. If you provide tech products or services, check each activity; cyber incidents and unrelated professional work need separate review.

Cyber Insurance Guides by State

Which Insurance Providers Offer Cyber Insurance?

  • AIG

    AIG CyberEdge family (CyberEdge, CyberEdge Plus and CyberEdge PC kept distinct)

  • Alliance Risk

    Alliance Risk arranges cyber liability insurance.

  • Amelia Risk

    Amelia Risk arranges cyber insurance.

  • Aon

    Aon describes cyber insurance and related brokerage, analytics and claims support; confirm the producing entity, insurer, jurisdiction and policy terms for a U.S. placement.

  • At-Bay

    At-Bay offers primary and excess cyber insurance for businesses with revenue up to $5 billion.

  • Beazley

    Beazley offers cyber insurance for small and midsized businesses.

  • Berkshire Hathaway Specialty Insurance

    BHSI markets a U.S. Network Security & Privacy product with third-party breach, response-expense and network-interruption features; its Professional First overview also describes stand-alone Cyber and blended E&O/Cyber forms. Product form, eligibility, terms and issuer depend on the risk and policy.

  • biBerk

  • CFC

    CFC offers cyber insurance, including primary and excess products.

  • Chubb

    Chubb offers cyber insurance.

  • CNA

  • Coalition

    Coalition offers cyber insurance.

  • Corgi

    Corgi lists cyber insurance among its business insurance offerings.

  • Coverdash

    Coverdash lists cyber insurance in its coverage catalog.

  • Cowbell

    Cowbell offers standalone and excess cyber products through its insurance-agency business.

  • Embroker

    Embroker lists cyber insurance with a quote route.

  • Founder Shield

    Founder Shield lists cyber liability among its core offerings.

  • Foxquilt

    Cyber product page; policy terms and limits not established.

  • Gallagher

    Gallagher arranges cyber insurance.

  • Harper

    Harper lists cyber insurance and describes approaching insurers for customers.

  • Heffernan Insurance Brokers

    Heffernan arranges cyber insurance.

  • Hiscox

    Hiscox offers cyber insurance for small businesses.

  • HUB International

    HUB International arranges cyber insurance.

  • Insureon

    Insureon markets Cyber Insurance; description does not establish insurer, policy terms, or individual availability.

  • Kinro

    Kinro lists cyber liability and compares business details with carrier appetite.

  • Liberty Mutual

    A group brand spanning personal and commercial insurance businesses; its business unit pages describe small-commercial cover for small businesses and commercial, specialty, surety, and reinsurance solutions for mid-size and large businesses.

  • Lockton

    Lockton arranges cyber insurance.

  • Markel Insurance

    Markel Cyber 360

  • Marsh

    Marsh arranges cyber insurance.

  • Marsh McLennan Agency

    Business insurance and employee health and benefits, with retirement, wealth, and private-client services also listed for the United States and Canada.

  • Mylo

    Mylo invites cyber insurance quote requests and compares policies from multiple insurers.

  • Nationwide

    Nationwide markets cyber liability and data-breach insurance to business customers; quote and policy terms determine eligibility and coverage.

  • Newfront

    Newfront places cyber insurance, negotiates policy wording and provides claims consultation.

  • Pie Insurance

    Pie provides access to cyber insurance quotes from carrier partners.

  • Relm Insurance

    Relm lists cyber insurance for placement through brokers.

  • Resilience

    Resilience markets cyber insurance on a primary or excess basis.

  • RiskCube

    RiskCube arranges cyber insurance for startups.

  • Risklytics

    Risklytics arranges cyber insurance for robotics, hardware and AI businesses.

  • Simply Business

    Add-on for select buyers purchasing another business policy; phone quote route.

  • StartupInsurance.ai

    StartupInsurance.ai arranges cyber insurance for startups.

  • TechInsurance

    TechInsurance arranges cyber insurance for small businesses.

  • The Baldwin Group

    Listed for named commercial sectors; Baldwin separately describes cyber risk guidance and market/partner access.

  • The Hartford

    The Hartford offers cyber insurance and data-breach coverage.

  • THREE by Berkshire Hathaway

    Marketed within THREE’s combined commercial policy; the quote and issued form determine the protection.

  • Travelers

    Travelers offers cyber insurance through CyberRisk Tech for technology and life-sciences companies.

  • USI Insurance Services

    USI arranges cyber insurance.

  • Vouch

    Vouch lists cyber liability in its technology-company programs.

  • WithCoverage

    WithCoverage reviews cyber exposures in technology-company insurance programs and offers broker-transition support.

  • WTW

    WTW describes cyber protection within its Digital Infrastructure Protector data-center solution, and its 2024 annual report describes cyber insurance solutions as a global group capability. Neither source establishes current standalone U.S. terms or eligibility.

  • Zurich U.S.

    Zurich markets cyber insurance for businesses; cover and policy form depend on the selected product.

Updated .

Spot, a product of Tools for Enlightenment, publishes this research and works in the commercial insurance market. Editorial policy. To suggest a correction, contact Spot with the page URL and supporting source.

Get Help With Insurance Buying and Renewals.

Get help buying coverage and managing renewals, with less paperwork for your team. Create your account and submit an insurance request online.

Talk to Spot