As recent data breaches demonstrate, employee benefit plans face exposure from data breaches and other possible cyber events. While most fiduciary policies already cover many cyber claims from third-parties, in the event of a data breach, benefit plans face a coverage gap in complying with state notification requirements and responding to information breaches. The Euclid Vanguard insurance policy is the first fiduciary liability insurance policy to include a sublimit for first-party cyber insurance coverage. This valuable coverage enhancement reimburses funds for the costs of complying with notification statutes.
Product & Program Highlights
- Information Breach defined as failure to prevent exposure of, unauthorized access, use of, repudiation of access to, tampering with or introduction of malicious code into data, software, firmware, systems or network; failure to prevent identity theft or credit/debit card fraud; failure to prevent the theft, unauthorized or illegal exposure of a person’s personally identifiable information or commercial confidential information that resides in or on an Insured’s laptop(s), device(s) or other media containing content or in on a trusted party’s laptop(s), device(s) or other media containing content; and failure to prevent unauthorized access to or unauthorized use of commercial confidential information.
- Content restoration expenditures to restore or recreate content that is damaged or destroyed as a result of an information breach.
- Crisis restoration expenditures include the cost to notify persons of a beach of the privacy of their personally identifiable information; certain necessary public relations activities; certain forensic and investigative expenses, and credit monitoring services
- $100,000 sublimit included in Vanguard fiduciary policy (for eligible accounts), with additional sublimits available by request and subject to underwriting requirements
- Our Carrier: Policy offered on admitted basis, 50 state availability, through Hudson Insurance Company, one of the most dedicated carriers for employee benefit plans. Hudson has an A.M. Best rating of “A” (Excellent), financial size category XV ($2.0 billion or greater) and is a Department of Treasury approved surety.
- Eligible accounts include multiemployer, governmental and other labor entities and non-profit benefit plans.