Cyber & Privacy Protection

An insured retail shop received an invoice, purportedly from a known supplier, requesting payment for an outstanding debt. They transferred $27,000 to the account instructed in the email. The next week, the retailer discovered the email was fraudulent and payment had been made to a hacker.

The retail shop’s Cyber Insurance policy did not have the optional Social Engineering cover, so they were unable to claim for the direct financial loss suffered by the fraudulent payment. Their insurer did cover $7,500 in remediation costs related to the attack.

The provision of the claims examples are for illustrative purposes only and should not be seen as an indication as to how any potential claim will be assessed or accepted. Coverage for claims on the policy will be determined by the insurer, not BizCover for Brokers.