Cybercriminals are becoming more creative every day, and they often target people with high incomes and substantial assets. According to a Chubb Wealth Report, one in six respondents with $25 million or more in investable assets said a family member had been the victim of a cyber-related attack.
When you hear about the devastating financial losses and other consequences of a cyberattack, it’s understandable to become concerned about your family’s risk. The good news is that you can purchase personal cyber insurance to protect your assets from this growing threat.
Here’s a look at why successful individuals and families need cyber insurance, the exposures these policies cover, and the various cyber policy options.
What Increases Your Odds of a Cyberattack?
Anyone can become the target of a cybercriminal, but factors like these make you more susceptible.
- You frequently make online purchases.
- You conduct some or all of your banking and other financial transactions online.
- You or your family members are active on social media, posting photos and details of your travels, vacations, visits to a secondary home, or expensive hobbies.
- You have a high-profile job or you’re a prominent figure for other reasons.
- Your home is equipped with smart TVs, appliances, thermostats, and hubs like Amazon Echo, all of which are potential entry points for a cybercriminal.
Why Isn’t Identity Theft Protection Enough?
There’s a common misconception that an identity theft protection product or credit monitoring service is sufficient to safeguard your assets. While these services are useful, they don’t provide the same broad protection as a cyber insurance policy.
For example, some services only monitor your credit, alert you to suspicious activity, and pay for the costs of restoring your credit if a criminal steals your identity. But there are many other ways a cybercriminal or bad actor could cause you financial harm, and many other losses you could experience that an identity theft protection product won’t cover.
What Does a Personal Cyber Insurance Policy Cover?
Many insurance companies now offer personal cyber protection to guard against this increasing threat. With the caveat that each policy is slightly different, and specific policy limits will apply, cyber insurance is likely to cover the following exposures.
- Ransomware/extortion: If a cybercriminal locks up your files and holds them hostage, the insurer will help determine if the threat is credible, offer guidance on whether to pay the ransom, assist with negotiations, and reimburse the payment up to a limit.
- Cyberattack: Cyber insurance could cover expenses associated with removing a virus or malware from your laptop, tablet, or other device, as well as restoring your data and repairing your hardware.
- Social engineering: Cybercriminals are increasingly successful at tricking people into giving up their personal financial information willingly, making it easy to steal their funds. For example, a bad actor might convince you that you owe back taxes and must pay them immediately to avoid fines or imprisonment. If this happens, cyber insurance could reimburse your lost funds. (Social engineering isn’t always covered, so work with your independent insurance advisor to ensure you’re protected.)
- Online fraud: A cybercriminal might send you an email with a link to a site that looks legitimate, but isn’t, to access your financial accounts and steal your money (a practice known as phishing). Or they could commit check forgery or wire fraud. When online fraud occurs, most insurers will guide you on next steps and cover your financial losses.
- Identity theft: Many cyber policies provide services similar to an identity theft protection product, such as assistance with restoring your identity and regaining access to your accounts.
- Data breach: You could be at risk of a personal data breach if you’re a high-profile figure or if you handle financial data on a volunteer basis on behalf of a school, youth sports group, or other organization. In this case, cyber insurance could cover expenses like legal fees and IT forensics.
- Cyberbullying/online harassment: Cyber insurance could cover counseling and private tutoring for a cyberbullying victim, as well as temporary relocation and other related expenses.
Which Cyber Policy is Right for You?
There are two ways to purchase personal cyber insurance.
- As a homeowner’s endorsement. If you own a high-value home, it’s likely you can add a cyber endorsement to your homeowner’s insurance policy. This optional coverage is inexpensive—averaging a couple of hundred dollars annually—and typically covers the most common cybersecurity exposures. A cyber endorsement is often sufficient for most individuals and families.
- As a stand-alone policy. You can purchase a separate cyber policy with broader coverage and higher limits than an endorsement provides, though the cost is significantly higher.
Turn to B. F. Saul Insurance for Cyber Protection
The personal insurance specialists at B. F. Saul Insurance bring the experience and knowledge to help successful individuals and families protect their assets with cybersecurity insurance. Our team has long-standing relationships with many reputable insurers that offer personal cyber coverage as an endorsement to their homeowner’s policy or on a stand-alone basis. We’ll discuss your needs and recommend the best approach to keep you and your family protected from this growing threat.
The greater your net worth, the more attractive a target you become for cybercriminals. And in today’s digital world, the risks continue to escalate.
Schedule a call with a B. F. Saul Insurance specialist to learn how to protect your assets with personal cyber insurance.

As Vice President, Personal Lines, Erika Marino leads business development efforts for B. F. Saul Insurance’s private client group and oversees the management of client relationships and sourcing of new accounts. She started her career in wealth management, working for Morgan Stanley as a financial advisor before she made the switch to insurance in 2018 when she joined B. F. Saul.
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