Shopping for Cyber Insurance?
Cyber-attacks seem to be more common. In turn, RIA firms are seeking greater risk protection with a focus on obtaining additional insurance coverage. Wading through the various types of errors and omission and cybersecurity insurance, not to mention fidelity or financial institution bonds can be quite challenging and time consuming. According to early data from a new study underway, InvestmentNews states that nearly 30% of financial advisory firms have cyber coverage. That number is in line with the one third of RIAs having some form of coverage that the Investment Adviser Association reports. The number of firms covered was only around 10% in 2014. If you are shopping for coverage, perform the proper due diligence. Look for coverage that covers not only traditional cyber-attacks but other possibilities, such as wire fraud.