We manage more than a quarter billion dollars of premiums for a diverse range of clients around the globe.
The stepped-up enforcement of the Foreign Corrupt Practices Act (FCPA) has introduced a number of middle market companies to the vagaries of the language in the Act. It was written to cast a very wide net and intended to be a looming force over U.S. companies that do business in foreign markets.
As Cyber Risk continues to evolve, it is becoming very evident that while it is spread over a variety of industries, the types of Cyber Risks are specific to each industry and play a major role in their level of exposure. The healthcare sector in particular, is targeted most heavily by hackers and malicious campaigns due to the private nature and black market value of the data. Personally Identifiable Information (PII) and Personal Health Information (PHI) contain data in which a bad actor can easily steal someone’s identity, open false accounts, perform fraudulent transactions, or hack/gain access to bank and other types of private accounts.
Fake bank accounts, food-borne illnesses, smartphones catching fire, cyber breaches. These are just a handful of recent events that have played out in the news and flooded social media, exponentially effecting conversations, comments and opinions, and most importantly, reputation and revenue. One thing that all of these seemingly different events have in common is that each one can be classified as a crisis, and require a thoughtful and carefully orchestrated response.
When looking for coverage for Foreign Corrupt Practices Act (FCPA) costs, the Directors and Officers (D&O) Policy is often the first stop. It appears to be the policy most applicable, because it defends against complaints of wrongdoing. However, to get significant protection from FCPA costs a D&O policy has to be significantly modified. Just by the moniker, Directors and Officers Policy, you know that the coverage is intended to be limited to a collection of individuals running the entity, not the entity itself. The first modification to look for is “Side C” coverage or the equivalent language indicating that the entity will be covered in the case of FCPA matters.
The Personally Identifiable Information (“PII”) of approximately 10,000 past and present employees of Seagate Technology, a leading electronics and data storage solutions manufacturer, was handed over freely to cybercriminals. The information included W-2 forms, names of beneficiaries, social security numbers of employees and spouses, etc. Needless to say, the impacted people are not thrilled and have brought suit against Seagate for malpractice and a lack of regard for employees affected by the negligent handling of data.
The New Jersey Supreme Court recently reversed its position on coverage for construction defects, affirming the Appellate Division’s decision that consequential damages caused by a subcontractor’s faulty workmanship constituted “property damage” caused by an “occurrence” under the plain language of the developer’s Commercial General Liability (CGL) policy.
Found a promising acquisition? Vet the risk. Make sure your due diligence includes evaluating these key areas:
In Part 1 of this post, I noted that ransomware events are occurring much more frequently; as many as 4,000 a day since January 1st of 2016. We took a look at some preventative measures that may protect your company and its network/data against a ransomware event.
The non-core activities of your firm can get in the way of serving your customers. Third parties, including outsourcers, can provide some relief from that distraction, but the administrative load does not completely dissolve. Some smart monitoring and evaluation will go a long way toward protecting your firm’s interests.
The U.S. Department of Justice stated that “More than 4,000 ransomware attacks have occurred daily since January 1, 2016. This is a 300 percent increase over the approximately 1,000 attacks per day seen in 2015.” Essentially, no particular user, company or business sector is safe. Although the Healthcare and Retail industries are targeted for their volume and value of data, home computers may also fall victim to ransomware.
Our areas of expertise include:
At The ALS Group, we help clients achieve their strategic goals via expert and insightful identification, quantification, and mitigation of the risks that could impact their business, or present opportunities for it.
More Information: [email protected]
Florida
1800 NW Corporate Blvd Ste 202
Boca Raton, FL 33431
Tel: +1-561-437-0024
At The ALS Group, we help clients achieve their strategic goals via expert and insightful identification, quantification, and mitigation of the risks that could impact their business, or present opportunities for it.
More Information : [email protected]
New Jersey
175 Main St
Woodbridge, NJ 07095
Tel: +1-732-395-4250
Florida
1800 NW Corporate Blvd Ste 202
Boca Raton, FL 33431
Tel: +1-561-437-0024
