Cyber Insurance
As businesses become increasingly reliant on digital computer systems and data, the risk of cyberattacks continues to rise across Canada.
At KASE Insurance, we provide tailored protection for your company from financial losses caused by data breaches, ransomware attacks, and online fraud. Whether you manage client data or run an e-commerce business, this coverage helps ensure your operations remain secure and compliant in a connected world.
What is Cyber Liability Insurance?
Cyber liability insurance, or simply cyber insurance, is a type of business insurance specially designed to protect against losses related to cyber incidents and digital crimes. This policy helps businesses cover the costs of data recovery, legal fees, system repairs, and customer notifications following a cyber event.
It’s an essential safeguard in today’s connected economy, ensuring your operations, reputation, and sensitive data are protected from both external hackers and internal errors. At KASE, you can obtain cyber attack insurance as a standalone policy or combine it with other insurance policies to give your business comprehensive coverage for any cyber event.
Why Do You Need Cyber Security Insurance?
Even with strong firewalls and IT systems, no organization is completely immune to cybercrime. Cyber liability insurance helps your business recover quickly and confidently after an attack.
Protects Digital Assets and Privacy Violations
Cybersecurity insurance covers expenses for customer notification, credit monitoring, and regulatory fines resulting from stolen or exposed personal information.
Provides Legal & Regulatory Defence
Cyber insurance provides a financial “plan B”, covering data restoration fees, legal expenses, lost income, and regulatory fines due to cyber incidents.
Offers Peace of Mind
Focus on core business operations with stringent cyber security measures and policies in place. With a robust risk management policy, you can direct your manpower and efforts to improving your business.
Fills Insurance Policy Gaps
Standard property and crime insurance don’t offer comprehensive coverage for cyber security risks. Cyber crime insurance provides coverage specifically to mitigate risks associated with digital asset storage.
What Does Cyber Insurance Cover?
Cyber liability insurance usually covers the numerous costs and damages from cyber attacks and incidents. They include:
- Incident Response Costs: These include the costs of risk management efforts, including cyber attack response hotlines and services (many of which are available 24/7).
- Network Security Failure: Repairing and restoring data reserves, software systems, and physical hardware damaged by cyber incidents, such as a malware attack.
- Cyber Extortion Coverage: Cyber insurance may cover costs associated with ransomware demands, like cyber criminals or hackers locking your systems until a ransom is paid.
- Business Interruption: Losses resulting from a cyber attack, including lost revenue during down periods, may be covered by cyber insurance providers.
- Third-Party Liability: Covers claims made by affected clients or partners, such as a client suing after their confidential data was exposed.
- Reputation Management: Includes PR and crisis management expenses.
Cyber Insurance Exclusions
Although comprehensive, cyber insurance coverage has limits when protecting you against the cost of digital threats. A typical cyber insurance policy covers almost all accidental data breaches and laws, but excludes cyber events involving intentional or irresponsible behaviour.
- Pre-existing or known system vulnerabilities: The insured party knew of potential cyber threats and vulnerable systems, but failed to address them ahead of time (which, if proven, can result in a claim denial). This also includes failure to maintain good cybersecurity practices.
- Lost Portable Devices: Cyber risk insurance does not cover the loss or theft of portable devices such as mobile phones and laptops.
- Intellectual Property Infringement: Cyber insurance coverage specializes in data and security incidents. It doesn’t cover patent, copyright, or trademark infringement matters.
- Intentional acts or fraudulent claims: A cyber insurance policy will not cover losses from intentional acts and sabotage.
- Unapproved system upgrades: If data losses occur due to unapproved system modifications (e.g., patches), a cyber insurance provider may deny the claim.
How Much Does Cyber Insurance Cost?
The average starting cyber insurance cost in Canada is $550 to $1,000 annually. For higher-risk industries such as healthcare, government institutions, or finance, premiums for a cyber insurance policy may cost $2,500+ annually.
The cost of a cyber insurance policy will vary depending on factors such as:
- Amount of sensitive data handled
- Current security systems in place
- Annual revenue
- Company’s size
- The industry (and its inherent risks)
- Claims history
Complete Coverage Options for Canadian Businesses
Beyond cyber liability insurance, KASE Insurance offers a range of policies to provide full protection for your operations. Explore complementary coverages designed to strengthen your business resilience.
Commercial Property Insurance
Protects your physical assets, equipment, and inventory from fire, theft, or vandalism—ensuring your business can recover from unexpected damage. Securing commercial property insurance is equally important as protecting against cyber risks. This includes coverage for hardware and physical computer systems, data storage devices, buildings and other structures that could be damaged or lost due to unexpected events.
Commercial General Liability Insurance (CGL)
Covers third-party claims for bodily injury or property damage caused by your business operations or employees. Cyber insurance doesn’t provide coverage against these incidents, which makes CGL vital to Canadian businesses in case someone gets injured on your premises.
Professional Liability Insurance
Professional liability insurance protects service-based businesses and professionals against claims of negligence, errors, or omissions. These may include data-based errors that may result in significant consequences for a company.
Commercial Crime Insurance
Cyber crime insurance offers coverage against digital criminal acts, not physical ones. That’s why traditional commercial crime insurance is necessary to protect businesses against theft, funds transfer fraud or employee dishonesty.
Commercial Auto Insurance
Covers company vehicles used for deliveries, service calls, or transportation, protecting against accidents, theft, and third-party liability.
Who Needs Cyber Insurance?
Any business that stores customer data, processes payments, or relies on digital systems can benefit from a cyber insurance policy. However, some industries may be more susceptible to cyber risk than others, including:
- Small Businesses & Startups: Small businesses and organizations are often targeted due to limited digital infrastructure and technology systems.
- Professional Service Providers: Accountants, consultants, and lawyers store confidential and private information within their computer systems. Cyber risk insurance can cover these professional services from losses in case of data breaches.
- Financial Institutions: Banks and credit unions often face advanced phishing, ransomware threats, and cyber extortion incidents.
- Healthcare Providers: Medical clinics and hospitals manage sensitive patient data and health records, which can be stolen or released by cyber attackers. Cyber security liability insurance protects these organizations from costly remediation and legal fees in the case of a privacy breach.
- Manufacturing & Logistics: Companies in manufacturing and logistics that use connected systems or industrial IoT devices are increasingly vulnerable to cyber risk. Cyber liability insurance can provide a safety net for these firms should their systems get compromised.
- Retail & E-Commerce: This includes online retailers and businesses processing online payments and customer transactions, as well as storing customer information.
Why Choose KASE Insurance for Cyber Liability Insurance?
Cyber insurance for business shouldn’t be an afterthought or a nice-to-have—it’s essential. At KASE Insurance, we take a proactive approach to digital risk management. Our team of award-winning cyber insurance brokers are dedicated to protecting Canadian businesses, tailoring each policy to your unique operations, data exposure, and compliance requirements.
Partner with KASE and receive:
- Customizable cyber attack insurance plans
- Competitive policy rates and flexible coverage options
- Continuous support, including policy optimization and claims management
We work closely with trusted cyber insurance providers to deliver comprehensive protection against cyberattacks, ransomware, and privacy breaches. With personalized advice, responsive claims support, and deep expertise in cyber risk insurance, KASE ensures your business remains secure, resilient, and future-ready.
Are you ready to get the cyber insurance coverage you need? Schedule a no-commitment consultation with our team today!
Read what clients have to say about KASE
By far the most professional and trustworthy insurance brokerage I have known. We have been working with this firm for number of years now and I have nothing but good to say about their team and services. Stan and his team won't stop until we are fully satisfied. They are always on top of things, super fast in their assistance and very professional. I highly recommend this firm to anyone seeking for great insurance brokerage to work with. Big Thank You to Stan and Kase Insurance for many many years of great service!
Reviewer: Alex K
out of 5 stars
Stan and is team at KASE Insurance have been fantastic in explaining what insurance we needed for our business. Very hands on approach and detailed. I work highly recommend KASE Insurance for any business owner looking for great service.
Reviewer: Kyle Grooms
5 out of 5 stars
The KASE team is very easy to work with. They answer your questions quickly, walk you through the process patiently, and find you great rates. We've been working with them for a few years and we haven't felt the need to shop elsewhere because of their customer service.
Reviewer: Sasha Boersma
5 out of 5 stars