Question

In recent years, some firms have suffered large data breaches, increasing the focus on cyber security. Find an example of a firm that sufferer a data breach. How effectively did it manage the aftermath of the breach? How could an insurer be helpful?

Answer 1

The firm which suffered data breach is Equifax. The hackers had hacked into the system of this credit rating agnecy and stole millions of data on the customers records. The breach compromised on the personal information of the customers like their date of birth, social security number and adresses and even driver's license numbers.

Due to a number of security and response lapses this security breach had happened. The rating agency was also slow in reporting the breach.Once, it was identified that the breach has taken place, they fixed the bugs, some of which were serious. They started redirected people to a separate domain equifaxsecurity2017.com. They also asked people to trust the system and punch in their social security numbers and check weather a breach has taken place.

Yes, Equifax is liable to pay compensation to all those people whose security has been breached. Luckily, the company had incorporated cyber insurance which will look after all the costs involved and offset a part of the costs.Its cyber covergae includes the breach response costs including credit monitoring expenses .Beazley is the primary insurer for Equifax.