Cos. Eye Data Breach Policies As CGL Exclusions Multiply

Law360, New York (March 13, 2012, 12:00 AM EDT) -- More and more companies, including law firms, are seeking out cyber policies that specifically cover hack attacks, as insurers grow bolder about repudiating coverage for data breaches under commercial general liability policies.

Insurance brokers and underwriters have admitted to providing coverage for cyber losses under general liability policies in the past, according to Scott Godes, co-leader of Dickstein Shapiro LLP's cyber security insurance coverage initiative.

But the insurance industry is starting to push back on covering data breaches under these broad policies, especially as they try to steer customers toward their cyber policies, he said. Insurers may soon begin specifically excluding...

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