Skip Ribbon Commands
Skip to main content

Cyber Liability

What Would You Do If Your Agency Had A Data Breach?

80% of businesses fail to recover from a breach because they do not know this answer.  Responding to a breach is a complicated process that requires assistance from many different professionals.  Failure to notify the affected individuals without unreasonable delay could cost your agency up to $1,500,000 in fines from government agencies.  Add this to the $200,000 average cost to comply with notification laws, the legal liability and the reputational harm caused by the breach and you can quickly see how this exposure can be devastating to your agency.

Independent Insurance Agents of Kentucky has partnered with Arlington/Roe & Co., Inc. to offer our members an exclusive program to help protect their agencies from information security breaches. This program is a holistic risk management process that will help train your staff on privacy compliance in addition to handling data breach notification and 3rd party suits. This program offers the following benefits:

 Available to Big I KY Members Only
 No Encryption Requirement
 HIPAA Compliance Tools
 Step-by-Step Procedures for Compliance
 Data Breach Coach to Help with Notification
 Forensic Investigators
 Privacy Counsel
 Call Center
 Credit Restoration Services
 Up to 50% Off Premium
 Big I KY Members Are Pre-Qualified for
 On-line Compliance Materials
 Staff Training Programs
 Expert Support On-Line
 Regulatory Fines & Penalties
 Public Relations Firm
 Notification Costs Outside Limit of Liability
 Credit Monitoring
 Security & Privacy Liability

  *some restrictions apply. Agencies over $5M in revenue, over 25% benefits or with prior losses need to be underwritten.

What is Cyber Liability Insurance?


Cyber liability insurance is an insurance coverage package that provides businesses protection from cyber security issues like data breaches involving sensitive customer information. In an ever-evolving digital world, cyber breaches have become all too common. Any business that digitally stores data is at risk of a cyber-attack. In fact, 55% of small businesses have experienced a data breach.

For an independent insurance agent, this can be a scary possibility. You have grown your business by establishing trust between yourself and your clients and a data breach could seriously harm your reputation. While cyber liability insurance can't entirely prevent the risk of a data breach, it can help deal with the aftermath. As a Big “I" Kentucky member, we can teach your employees how to effectively navigate a data breach and help them learn best practices for privacy compliance.

What Does Cyber Liability Insurance Cover?

Cyber liability insurance will typically cover the costs associated with a data breach. This includes the cost of hiring legal representation and recovering the stolen data. Depending on whether the attack happened to your business or another business' data that you manage will impact the type of coverage you need.

First-Party Coverage

First-party cyber liability insurance, also known as data breach insurance, covers costs related to a data breach or cyberattack on your business.

This generally includes:

Cyber Ransom Payments: if a hacker is holding your information or data hostage, cyber liability insurance will help with payments to meet the demands of the attacker.

Breach Response Costs: This coverage will help cover the costs associated with notifying affected clients, hiring a digital forensic investigator, consumer credit and fraud monitoring services, as well as PCI compliance fines.

Third-Party Coverage

Third-party coverage protects companies that fail to protect their client from a data breach or cyberattack. This is generally recommended for businesses that make software recommendations to clients or are responsible for their network security. Third-party cyber liability insurance will typically cover the costs associated with a lawsuit from one's client like legal defense costs, settlements, and court-ordered judgments.


Is Cyber Liability Insurance Worth It?

If you store any customer data or store information online, you should absolutely have cyber liability insurance. As previously mentioned, over half of small businesses have experienced some kind of data breach. Unfortunately, 60% of small businesses fail to recover after a cyberattack. Making sure your independent insurance agency has the proper coverage can go a long way in recovering from a data breach.

As a member of Big “I" Kentucky, we will set you up with the best cyber liability insurance policy, help train your staff to navigate a cyberattack, and provide additional resources. Not a Big “I" Kentucky member? Sign up today or contact us with any questions!


To view full list, please login as a member


John Immordino

Arlington/Roe Program Administrator
Ph: 800.878.9891 Ext. 8732



Insurance Services Director 

502.245.5432 EXT: 102


Cyber Liability Application