6 Things Lawyers Need to Know About Cyber Insurance
Some law firms, we recently learned, have been keeping a small stash of Bitcoin on hand. Why? Because Bitcoin, the digital cryptocurrency, is the preferred mode of exchange for most hackers. Should the firm succumb to a ransomware attack, a quick Bitcoin payoff can allow business to resume without too much difficulty.
But there's another way to prepare for potential cyber attacks -- and it doesn't involve stuffing Bitcoin under the mattress. Cyber insurance can help lawyers and law firms insulate themselves from risks associated with hacking, ransomware, data breaches, and the like. Here are some helpful resources for understanding cyber insurance, taken from the FindLaw archives.
Probably. The legal industry is no stranger to cyberattacks. Faced with security breaches, possible privacy violations, hacking, and more, many firms are seeking to protect themselves through relatively novel insurance policies.
The cyber insurance industry is growing rapidly. But that rapid growth also means significant change, to the policies involved, to the legal questions they raise, to the small but growing amount of caselaw governing cyber policies. Here's how you can stay on top of the trends.
Law firms are tempting targets for hackers, as this story shows. Lawyers have access to sensitive information and often weak security. Here, hackers focused on M&A lawyers, apparently looking for insider information they could use to make some lucrative trades.
Ransomware attacks involve malware that encrypts your computer's data, holding it hostage unless you can crack the software or agree to pay up. It's a growing form of digital extortion, and it's hit major companies and small firms alike. Even transit systems have faced ransomware attacks. So, if you're a victim of this digital mugging, will your insurance be there to help you out?
As the risk of hacking grows, many cyber insurers are starting to raise premiums and limit coverage. But, if that's not necessarily great news for policy holders, it does have a silver lining for lawyers, as increasing insurance disputes keep attorneys busy.
Having car insurance doesn't give you license to drive recklessly. Similarly, having cyber insurance doesn't mean you can neglect your I.T. security. After all, when it comes to cyber attacks, the greatest threat to your security may be yourself.
- 8 Best Ways Lawyers Can Protect Themselves From Hackers (FindLaw's Technologist)
- Tell Opposing Counsel If You're Hacked, Before Hackers Take All Your Money (FindLaw's Technologist)
- Hackers Break Into M&A Firms, Make Millions on Insider Trades (FindLaw's Technologist)
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