GDPR & the Role of Cyber Insurance
How Does The GDPR Define Personal Data
On 25th May the General Data Protection Regulations (GDPR) will come into effect, which doesn’t leave your organisation much time to educate itself on all the forthcoming changes. The GDPR expands the rights of individuals when it comes to their personal data and places greater obligations on businesses that process that data.
You may not realise it, but your organisation most likely handles some kind of personal data, whether it belongs to your customers or your employees. To ensure you remain compliant, understand that personal data includes the following, according to the European Commission.
Name and surname
Identification card number
Home and email address
Essentially, if it can be used to identify a person, the data counts as personal data. If you’re in doubt, treat it as personal data.
GDPR Fines & Penalties
With this new legislation, comes new fines and greater penalties. If you suffer a data breach, you could be liable for a significant fine up to 10 million euros or 2 per cent of your global turnover.
From 25th May, individuals will also have the right to claim compensation of any material and/or non-material damages resulting from an infringement of the GDPR. Many worry that this will pave the way opens for mass claims in cases of large-scale infringements.
GDPR and Cyber Insurance
Bearing these possible penalties in mind and the fact that last year 81% of large UK businesses and 60% of small companies suffered a cyber security breach, it is essential that firms invest in Cyber Security and in keeping their client and employee details safe and secure. Regularly reviewing company policies and systems to ensure compliance is also key.
However, sometimes things still go wrong and something slips through the net. Companies also need to make sure they have appropriate cyber insurance that will cover them if a problem of this kind arises.
The benefits include not just a possible financial payout, but also an expert team on hand to improve your security, assist you with the claim and support you during the business crisis.
Our cyber liability insurance is designed specifically for firms of all sizes to help management control the impact of cyber breaches and to restore business processes as soon as possible.
Contact our team for a free, no obligation quote or for some advice on the issue.