Does Cyber Insurance Cover GDPR Fines?

A cyber policy may cover legal costs for a privacy regulator inquiry while treating a fine or penalty differently. The FTC lists incident-related fines and penalties as a possible cyber coverage feature, and Chubb describes regulatory fines only where insurable by law. Those qualified statements do not settle whether a specific GDPR penalty may be insured in the relevant jurisdiction. The regulator’s action and the policy’s territorial scope also matter.

Review whether the form covers regulatory proceedings, defense costs, and indemnity for penalties, and whether it includes a “where insurable by law” limitation. Check jurisdiction, sublimits, exclusions for multiplied amounts, and whether the insured entity is named. Ask counsel and the insurer to assess the particular penalty rather than relying on a general cyber coverage summary. A policy does not replace any privacy-law compliance or notification duties.