Safeguard your data, your reputation, and your bottom line
In today’s connected world, nearly every business relies on technology to keep things running—from a small home office in Midland to a large manufacturer in Barrie. You rely on digital systems to process payments, store client data, manage inventory, and communicate. This digital reliance is fantastic for growth, but it comes with a major risk: cyber attacks.
A standard commercial general liability (CGL) policy often excludes cyber risks. This means that if your business’s network is breached, you could face massive financial losses, legal fees, and regulatory fines that traditional insurance may not cover. That’s why cyber liability insurance is vital. It’s an essential part of any modern business plan and risk management strategy.
At McLean & Dickey, we work for you, the client, not the insurance company. We recognize that protection must evolve as quickly as the threats. We shop our broad network of top-name insurers to find a robust, tailored cyber liability insurance policy that protects your business’s finances and reputation from the devastating fallout of a data breach.
Who needs cyber liability insurance?
The simple answer is: every business that uses a computer or stores electronic data.
Hackers often target small businesses because they lack the robust security resources of large corporations, making them easier and more vulnerable targets. In fact, 43% of all cyberattacks in 2025 targeted small businesses and 90% of all cyber breaches impact businesses with fewer than 1,000 employees.
Cyber liability insurance is critical if your company handles any of the following types of information:
Customer Private Data
Credit card numbers, bank account details, or personal identification information.
Employee Private Data
Social Insurance Numbers (SINs), addresses, or health records.
Proprietary Business DAta
Client lists, trade secrets, intellectual property, or confidential financial information.
Industries at higher risk include: Finance and Accounting, Healthcare and Wellness (e.g., therapists, social workers), Retail and E-Commerce ,Technology and IT Services.
What is cyber liability insurance?
It’s a specialized form of business insurance designed to protect your company from internet-based risks, such as data breaches and network security failures.
How does it work?
When a covered cyber event occurs (like a ransomware attack, data breach, or denial of service), your policy activates a coordinated response team and covers the extensive financial costs associated with recovery.
What does it cover?
First-Party Coverage
Covers the direct financial losses your business sustains, such as:
- Forensic investigation costs to identify and contain the breach.
- Business interruption and income loss during recovery.
- Data restoration or replacement expenses.
Cyber extortion payments and negotiator fees. - Crisis management and public relations costs to rebuild trust.
Third-Party Coverage
Covers your legal liabilities when a breach affects customers, vendors, or partners:
- Legal defense and settlement costs.
- Notification expenses to affected individuals (required under privacy laws).
- Regulatory fines and penalties for privacy violations.
- Crisis management and public relations costs to rebuild trust.
Frequently Asked Questions (FAQ)
How much does cyber liability insurance cost?
The cost varies by risk profile, but small businesses pay a median annual premium of about $1,740 (≈ $145/month). Rates depend on:
- Industry type (finance and healthcare are higher risk).
- Volume and sensitivity of data handled.
- Security measures in place (like MFA, backups, and employee training).
How much coverage do I need?
Most policies range from $1 million to $5 million per occurrence. The right amount depends on your data exposure and potential loss. Our brokers can help you assess your risk and set adequate limits.
How do I get cyber liability insurance?
- Consult with us: Discuss your business operations and data usage.
- Complete a short questionnaire: Insurers require info on your current cybersecurity measures.
- Compare options: We shop multiple top-name insurers to find the best coverage and value.
Why is cyber insurance part of a larger risk strategy?
Cyber liability insurance is a cornerstone of a full Business Insurance and Risk Management strategy. It complements Commercial General Liability and Professional Liability policies to ensure complete protection.
What is personal cyber liability insurance?
This covers individuals or families, protecting against personal data breaches, cyber extortion, or identity theft. It’s usually added to a home policy and is separate from commercial coverage
More information about commercial cyber insurance.
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