EDP Insurance Coverage

Electronic data loss insurance does cover:

Lost or damaged electronic data. You never know when you may lose all your essential data, so you must be protected. It pays to replace or restore your electronic data that is lost due to an insured loss, e.g., a  fire that destroys your computer system or a virus.

Interruption of computer operations. Data loss can severely impact a business. EDP policies can also include coverage for your law firm’s actual income and extra expenses incurred if you cannot operate the firm due to the data loss.

Electronic data loss insurance does not cover:

Your liability due to data loss (not a third party). A standard EDP only covers your losses due to lost electronic data, and it does not provide coverage for a liability you may have to a third party due to such losses.

Your mistakes. A standard policy doesn’t cover any losses due to a mistake in processing electronic data or mistakes made in your computer systems or networks’ design, implementation, or support unless those mistakes result in a fire that subsequently destroys the data.

Employee actions. A standard policy won’t cover any losses to electronic data if those losses result from your employees’ actions, whether intentional or not.