As someone making insurance decisions for a firm in the financial industry, understanding the risks of doing business is probably a good idea. Whether you work for a commercial institution, a private bank or a FinTech startup, your company can face liability risk from a number of sources. These might include consumer fraud claims, shareholder disputes, employment discrimination and others. Financial Guaranty Insurance Brokers offers four main insurance policies to address the myriad risks your institution might face. These policies include the following:
1. Employment Practices Liability (EPL)
When an employee alleges wrongful termination, sexual harassment or discrimination EPL coverage can cover your principles, directors and other employees.
2. Bankers Professional Liability (BPL)
This coverage can provide protection when a wrongful act takes the form of a misstatement, omission, error or neglect of duty resulting in a failure to render professional services. This might include improperly advising a customer with poor financial information.
3. Errors and Omissions (E&O)
If a customer has a poor experience, there might be allegations of performance failure. This customized coverage can compensate and defend your firm against negligence claims.
4. Directors and Officers Liability (D&O)
This coverage can specifically cover legal costs for directors and officers stemming from allegations of wrongdoing against a firm’s board of directors. The liability coverage can cover both legal costs and settlement costs.
Most polices should be customized to fit your unique situation. Call Financial Guaranty Insurance Brokers to speak with a professional about a mix of plans that works for your company.
Let’s just face the fact that cybercriminals are not going away anytime soon. They hide in the shadows, attack individuals and corporations, even governments, and make ransom demands in exchange for returning stolen information. Banks and financial institutions make very good targets as well. The scope of cyber liability insurance coverage carried by lenders should be commensurate with the level of risk involved with their operations and the type of activities they’re involved in.
Financial Guaranty Insurance Brokers want you to understand that not all cyber insurance products are the same. Coverage options often vary among the products offered by the many different insurance carriers on the market. That’s why it’s important to partner with a broker that really understands the banking industry, that has been partnered with banks and other lending institutions long enough to sift through the intricacies that make up this business sector.
Limiting the damage associated with a breach
Financial Guaranty Insurance Brokers is experienced in placing tailored cyber insurance coverage. Cyber liability insurance is being made available to help lessen the blow of any financial impact data breaches and other types of attacks can have on a financial institution.
Perhaps the biggest financial consequence to these organizations experiencing a data breach is the loss of business, primarily due to reputational damage that results in a lack of faith. Following a breach, these enterprises need to gain a foothold and take the necessary steps to regain customers’ trust. Financial Guaranty Insurance Brokers want to help you to reduce any long-term financial impact that may result from a situation such as this.
Cyber insurance policies are often quite complex. You need an agent willing to take the time necessary to go over specific details, including any exclusion that exists, which is vital to your understanding of the coverage that you’re purchasing. The professionals at FGIB are more than willing to review any areas you may be unsure about, as well as the required procedures and controls to help better protect your data. The primary goal is to prevent or limit the fallout from a cyber attack using the insurance policy that you purchased.