More Hoosiers are Working from Home Than Ever: Does Your Insurance Cover a Data Breach?

By: Erik S. Mroz

In response to Governor Holcomb’s Stay-At-Home Orders, more Hoosiers than ever are working from their home offices and kitchen tables.  Unfortunately, this new environment provides additional opportunities for hackers, snoops, and other bad guys to launch cyber-attacks against company assets.  It is estimated that cyber-attacks and phishing scams are up as much as 4,000% since the beginning of the COVID-19 pandemic.

Many companies have purchased cyber liability insurance to protect them from financial losses resulting from data breaches and attacks.  Most cyber liability policies contain both first-party and third-party coverages.  Some policies also provide separate coverage for business interruption caused by network outages arising from a covered cyber event.

Whether coverage is available depends on the precise language contained in the policy agreement.  For example, some cyber liability policies limit coverage to devices that are owned, leased, operated or controlled by the employer.  Some companies provide their employees with company laptops, tablets, and cell phones to transact business.  However, many companies allow employees to use their own devices to access company resources, which could impact coverage in the event of an attack. 

Like all contracts, it is important for both insurers and their insureds to know what is covered by their policies and what is not. 

For questions regarding insurance coverage or claims, please contact your DSV attorney or Erik S. Mroz at 317-580-4848 or

***The information contained on this website is for informational purposes and is not intended as formal legal advice and cannot be relied upon as such.  No attorney client relationship is established or intended as a result of the information contained on this website.***