Cyber Risk Insurance: What Is It? Why Do You Need It? How to Choose?

Cyber risk insurance

What is Cyber Risk Insurance?

In today’s world, it’s hard to think of any business that isn’t reliant on technology, especially the internet—the digital super-connection that connects all devices. Invariably, this creates a cyber-risk whereby your private data and normal business functioning could come under attack by a cyber-criminal.

Cyber risk insurance is typically designed for organizations to provide protection against cyber-security related risks. It helps you keep your business running in the event of a cyber security breach and is generally designed to help businesses address any expense that might occur as the result of a data breach, including forensic investigations, business losses and notification expenses, as well as addressing lawsuits and extortion attempts.

Cyber risk insurance provides a wide range of coverage against the business losses that might occur as the result of data destruction, data theft, hacking, extortion, including forensic investigations and DoS attacks. Its coverage also encompasses the losses caused by errors and omissions, failure to protect the data, and defamation.  Besides, its additional benefits also include the coverage of post-incident public relation expenses, regular security audits, and other expenses.

In addition, one can also buy a personal Cyber risk insurance policy to secure a person’s personal digital identity and data from online threats.

Why does your organization need cyber risk insurance?

Every organization that uses technology to do business faces cyber risk.  In today’s world where almost, every business is going digital and many are shifting to cloud-based solutions, it is impossible to isolate from online communication or be immune from cyber risks. According to “The Economic Impact of Cybercrime –No Slowing Down Report,” it was estimated that cybercrime might cost have the world $600 billion in 2017. It was almost double the loss caused by natural and man-made disasters, combined.

Therefore, it is critical for organizations to embed cyber security risk management policies and measures at every level. Cyber risk insurance can help you maintain the continuity of your business in the event of cybercrime. Just like other types of insurance, you transfer some of your risk to the insurance company via cyber risk insurance so that you don’t have to incur the loss when a data breach occurs.

What to look for in Cyber Risk Insurance? How to Choose?

In Dubai, you will find various insurance companies offering cyber risk insurance. Similar to any other business insurance, the coverage of cyber risk insurance also varies based on the insurer and policy types.

While selecting a cyber risk insurance coverage, ask the following questions so that you know you are picking the right product for your organization:

  • Does the insurance company provide one or more types of standalone cyber insurance policies? Or, is this coverage simply an extension of existing policy? A standalone policy is considered to be the best and most comprehensive.
  • Does the insurance company customize the policy based on your organization’s needs?
  • What are the deductibles? Just like you have deductibles with health or auto insurance policy, be sure to compare deductibles among insurers closely.
  • How does cyber risk insurance coverage and limits apply to first and third parties? Does it also cover the third-party service provider? Find out if your service providers have cyber insurance and if not, how this will affect your agreement with them.
  • Does the policy also cover non-malicious actions performed by an employee? This is a part of the Errors & Omissions coverage.
  • Does the insurance cover social engineering along with network attacks? Social engineering involves all kinds of attacks, such as phishing and advanced persistent threats.

While you can go it alone and prepare a list of the questions mentioned above, you can also work with New Age Insurance Brokers who can help you with the above. Our specialized team will conduct a thorough due diligence process to understand your cyber environment and recommend the right kind of plan for your organization.

Understanding property insurance for businesses and how to find the right one

property insurance

Running a business and protecting your capital investment is a challenging task considering the risks involved due to sudden or accidental damages. A business invests in many assets and properties like building, machinery, stock, transportation, or others for their day-to-day activities and operations. To protect your investment, you need to insure them against any uncertain loss in the future. That is where property insurance comes into the picture that provides financial reimbursements following a covered loss or damage.

For businesses, a comprehensive property insurance policy is the best option to protect the business property, whether owned or rented. The material assets are protected if they’re stolen, damaged or destroyed and the insurance will cover the costs to repair or replace the equipment/machineries used for business.  Additionally, liability risks can be included in the policy to cover any damages or injuries to third parties while on the business premises site.

A property all risks insurance policy provides coverage against damage or loss due to the following risks or perils:

  • Fire
  • Water
  • Explosion
  • Lightning
  • Theft
  • Riots and strikes
  • Accidental Damage
  • Natural Disasters like earthquake, floods, earthquakes, or storms,

Business interruption insurance policy can also be included to cover loss of revenue following any accidental damage or loss to your business properties.

There are some additional types of insurance for businesses that you can take to protect your business and its assets. Some of the important ones are:

  • General Liability Insurance
  • Business Vehicle Insurance
  • Fidelity Guarantee Insurance
  • Money Insurance
  • Worker’s Compensations’ Insurance
  • Product Liability Insurance
  • Professional Liability Insurance
  • Business Owner’s Policy or Umbrella Policy

How to find the right property insurance policy for your business?

So, if you are looking for insurance policies for your business, you should be very careful and attentive while finding the right one that best suits your requirements. The location of your business and the risks involved in your location can vary the price of the insurance policy. Also, the condition of your office machinery, equipment, or any asset can affect the value of your policy. Here are some of the important factors that you should consider while buying the right property insurance policy for your business:

  • Get a complete insurance policy to cover all kinds of damages and losses to get additional coverage for all kinds of business liabilities.
  • Compare the details and premium pricing of different insurance providers to find the best coverage at the best price.
  • Sit with your broker to understand each and every element and exclusions of the insurance policies. You can ask them about endorsements, coverage of occurrences, expected damages that are covered in the insurance policy, etc.
  • Look for the recommendations. You can check for the online suggestions, testimonials, and reviews to get an unbiased opinion about different insurance companies and their policies. This will help you find the best for your business.

So, if you own a business in the UAE and looking to buy property insurance in Dubai, we at New Age Insurance Brokers can help you find the right cover. We will consider every detail of your business and evaluate the risks involved to get the right insurance policy at an appropriate value to protect your business assets.

6 Things to Consider While Buying a Medical Insurance Plan in Dubai

medical insurance in Dubai

Medical insurance is a secure insurance plan under which the insurance company covers the medical costs or guarantees compensation for medical expenses of hospitalization in case the insured falls ill or meets with an accident, like falling down a staircase.

The importance of medical insurance has substantially increased these days. Undoubtedly, Dubai is bestowed with an advanced healthcare system, but medical costs are very high, especially in the private health sector. This is why buying the right medical insurance in Dubai can help you carry the burden of heavy medical bills should you have a medical emergency.

You must choose the right medical coverage that encompasses your medical expenses fully or to the extent possible. Thus, here, we are going to discuss the things that you need to know upfront before you choose a medical insurance plan.

  1. Mandatory Health Insurance

In Dubai, it is mandated that all employees, workers, and ex-pats must have medical/health insurance from their employers or sponsors regardless of their salaries. This insurance must provide at least the minimum limit of coverage as defined by the Dubai Health Authority. This way, the Dubai government makes sure that even the employees with a low pay scale can have access to adequate healthcare.

  1. Quality of Healthcare Facilities

If you are an ex-pat from the USA, UK, Canada, or another country with robust healthcare infrastructure and residing in Dubai to explore education, job, and business opportunities, you can have peace of mind. The quality of healthcare facilities in Dubai matches the standards of western countries. Besides, you have an added advantage that the cost of certain surgical operations is considerably less due to less expensive labor and different forms of medical insurance plans.

In Dubai, you have a wide range of choices as there are local and international plans, basic and premium plans, and plans with deductibles and no deductibles. By having the right insurance consultant, you can easily find which medical insurance in Dubai would suit you best.

  1. Geographic Coverage

While choosing a medical insurance plan, you also need to take the type of geographic coverage into account. You need to decide how frequently you go to other emirates or foreign countries. Some medical insurance plans cover only your city, some plans cover the entire UAE, regional plans may provide coverage in GCC countries or MENA regions, and some plans also cover international trips. International insurers also provide direct billing facilities outside UAE so you can enjoy cashless facility by just carrying your medical card.

  1. Maximum Coverage 

Maximum coverage is the ceiling amount that your plan offers annually and it is aggregated based on the limit of your medical insurance plan. The lower your maximum coverage, the lower your premiums. The higher your maximum coverage, the more robust your medical insurance plan is.

  1. Maternity Benefits

Maternity benefits must be considered if you are getting married or starting a family. So, check if all the services (outpatient as well as an inpatient) required by you are included in the plan. Outpatient services include lab tests, ultrasound scans, and prenatal checkups, while inpatient services include the delivery of the baby and any emergency medical procedures. Also, while getting an individual medical policy, one must also confirm if there is any waiting period on maternity.

  1. What’s Not Included

There are a lot of things that some medical insurance plans don’t cover. So, you need to search this list to see whether your particular requirements are included in the plan or not. For instance, if you want your dental treatment to be covered, you need to make sure that it is included in the plan. Alternative medicines, dental, optical are optional covers depending on the plans you choose. However, there are certain exclusions that are applicable on all plans. These include cosmetic treatments, supplements, diet plans, medical equipment etc.  Checking exclusions is important so that one knows fully well what is covered under their medical insurance plans.

At New Age Insurance Brokers, we can review your current insurance plan to see if it meets all your needs and also recommend the right plan for you and your family. Reach out to us for a free consultation and we will ensure that you get the best plan that suits your exact needs.

What is an insurance broker? How to find the right one for you?

insurance broker

Broadly speaking, Insurance brokers are the professionals who consult, offer, and negotiate insurance policies for organizations and individuals.  They offer risk management consulting to their client by outlining the various risks that are involved in their life and business. After clearly identifying and quantifying the risks, an insurance broker works with the client to find the right protection solutions to minimize the impact of those risks, if they were to occur. Insurance Brokers work as a bridge between the insurance companies and customers with the sole aim of finding the best possible solution for their clients.

Whether you are looking for a life insurance cover or an education policy or any business insurance, you should consider appointing an insurance broker who will help you throughout the whole policy buying process. Companies that work with experienced and professional brokers find tremendous value as capable brokers are able to “shop” different insurance companies for the best possible cover with the lowest premiums. Professional Brokers also monitor and continuously review your polices to ensure that you get the best out of your policy.

Types of individual insurance that an insurance broker offers

  • Life Insurance
  • Education Planning
  • Critical Illness Insurance
  • Retirement Planning
  • Medical Insurance
  • Personal Accident Cover
  • Motor Insurance
  • House and Mortgage Insurance
  • Travel Insurance

Types of business insurance that an insurance broker offers

  • Group Medical Insurance
  • Property Insurance
  • Workmen’s Compensation
  • Professional Indemnity Insurance
  • Cyber Risk Insurance
  • Engineering
  • Marine Cargo
  • Fleet Policy
  • Contractor’s All Risk

How to find the right insurance brokerage for your needs?

If you are searching for the right insurance brokers to buy insurance policies, consider these points during your search:

  • The services they offer to their clients to know if they fit with your requirements.
  • The practices they follow while finding the best insurance policies for your needs.
  • Review the work experience and qualifications of the professionals.
  • Whether they offer free consultation services to their clients.
  • Whether they offer risk valuation and management services to help you identify the kind and level of risk involved in your business.
  • Check for the online reviews, ratings, and testimonials given by the clients to get an idea about their professionalism and good they are at their work.

These are the best practices that you can follow during your search to find the right insurance broker for your purpose. Insurance policies are your best defense to bear the cost against any damage or loss.

All about Directors and officers (D&O) liability insurance: The what, who and why

Director and officer

If you are the Director or an officer of a company then you have a high-risk profession because if held liable for your own or other Directors’ decisions, you could face a huge loss through litigation from competitors, shareholders, creditors, or various other regulatory bodies.

So, in order to safeguard your company and its major decision-makers from the threat of being held legally responsible or sued for any sort of negligence, malpractice, or accident, you can rightly use this type of Liability insurance i.e. a Directors and officers (D&O) liability insurance.

But wait, what exactly is this liability insurance? Here’s an overview of Directors and officers (D&O) liability insurance.

What is D&O liability insurance?

Directors and officers (D&O) liability insurance protect the personal assets of business directors, officers, as well as their spouses when senior members of a company are held legally responsible by their employees, competitors, customers, vendors, investors, or other parties for actual or alleged misconduct in managing the business. D&O liability insurance comes to the rescue and offers them extensive coverage.

Who are the persons covered under D&O liability insurance?

The Directors and officers (D&O) liability insurance can cover the following individuals:

  • The officers and directors employed by the company
  • The risk manager who is also the employee of the company
  • Officers and directors of the subsidiary companies
  • An employee of the organization who is working in the supervisory or managerial department of the organization
  • Independent directors and officers
  • The secretaries of the organization
  • Non-executive directors
  • The employee (excluding the officer or director) of the company who is acting as a lawyer on behalf of the organization.

Simply put, the Directors and Officers insurance applies to all those people who hold supervisory as well as managerial positions in the company. This includes employees, Board of Directors, or any other person who is a part of the company’s management.

Why there is a need for Directors and officers (D&O) liability insurance?

There are a plethora of good reasons on why you definitely need D&O liability insurance. Discussed below are some of the significant ones.

  • D&O liability insurance helps meet various legal and regulatory requirements.
  • It helps in the case of accounting misconduct and financial fraud.
  • It is very much required when cases related to sexual harassment are made against an officer or the director of the company.
  • It covers all the legal costs in case a Director or Officer covered in the policy issued.
  • It is needed when the major assets of the company are mistreated or when the company’s funds are misused.

Today, there are many companies that believe they don’t really need D&O liability insurance. But when one considers all the aforementioned reasons, one realizes that there is actually not a single reason for a company not to opt for D&O insurance. Always remember that not purchasing this insurance coverage might be risky as only a single D&O claim can ruin all the personal assets of a company and the organization may incur a great financial loss.

What are the various factors that determine the premium you pay for a D&O cover?

  • The financial condition of the company
  • Business activities / Specific industry
  • Quality of management/experience of management
  • Diversity of business activities
  • Length of time in business
  • Mergers and acquisitions
  • Organizational structure
  • International operating exposures
  • Claims history

For more information about D&O insurance, talk to a consultant at New Age Insurance Brokers or e-mail us at info@newageib.com to help you through the process of negotiating and purchasing the right coverage for your business needs.