What Does Cyber Insurance Cover?

Cyber insurance commonly combines first-party protection for the business’s own covered costs with third-party protection for covered claims brought by others. FTC guidance lists examples such as forensic investigation, customer notification, data recovery, lost income from a covered interruption, cyber extortion, legal defense, and settlements. The menu differs by policy: an example list is not a promise that every form includes every item.

Read the quote’s insuring agreements and definitions to see which events trigger each section, whether vendors’ systems count, and whether coverage is claims-made or event-based. Compare each limit, sublimit, retention, waiting period, consent requirement, and exclusion. The attached AIG specimen is an illustration only; it is not a substitute for the issued policy.