Drafting Ransomware Sublimits That Hold Up: What Insurers Can Learn From CiCi Enterprises

Ransomware sublimits are a common tool cyber insurers use to manage exposure stemming from ransomware attacks. When ransomware infiltrates an insured’s system, the insured is typically faced with two costly options: pay a ransom to regain access to their data and resume operations quickly, or rebuild systems from scratch, incurring significant IT costs and extended business interruption losses. To contain this risk, cyber insurers increasingly rely on ransomware sublimits to cap coverage for... By: Phelps Dunbar