Cyber attacks are on the rise. Their destructiveness is increasing. Cyber crime costs increased by a factor of four from 2013 to 2015 and are expected to quadruple again through 2019. In the face of growing cyber risks, procuring cyber insurance is an increasingly important business decision. This area is becoming the insurance industry’s fastest growing product and is expected to reach $7.5 billion in annual sales by 2020.
In fact, earlier this year, the ABA began offering cyber liability insurance to lawyers and law firms. “Cyber insurance coverage is a valuable and practical member benefit for lawyers offered through the ABA Insurance portfolio,” says Linda Klein, the ABA president under whom this product rolled out. “As the number of cyber breaches increases everywhere and throughout all industries, it is critical that lawyers and law firms that rely on vast amounts of electronic data are protected,” Klein adds.