As cyberattacks against K–12 districts become more frequent and more sophisticated, school leaders are paying the price in the form of cyber liability insurance premium hikes. One school district in Illinois reported a 334% premium cost increase, and a Gallagher Report suggests this number isn’t out of the ordinary. The 2022 “Cyber Market Conditions” report indicates school districts may face a 100 to 300 percent increase in the cost of premiums if they don’t have “best in class” security controls in place.
In some instances, insurance companies may refuse to cover districts without adequate cybersecurity measures. This could leave school leaders scrambling to find new cyber liability insurance and make upgrades to encourage companies to provide coverage.
“What you’re seeing is an evolution from an informal to a very formalized structure,” says Paul Kinder, managing director of cybersecurity at Focal Point Data Risk. “Insurance is becoming much more strict and much more granular.”
LEARN MORE: 5 ways K–12 schools can prep for cybersecurity insurance risk assessments.
Here’s what IT leaders should know about cyber liability insurance, keeping premiums low and getting the help they need.
What Is Cyber Liability Insurance, and Why Do Districts Need It?
Cyber liability insurance protects school districts in the event of cyberattacks or data breaches. The insurance covers the costs schools could face in the wake of ransomware attacks and other cybersecurity dilemmas.
In 2021, ra ..
Support the originator by clicking the read the rest link below.
