Quick answer: Cyber liability insurance pays for the costs of a data breach, ransomware attack or email fraud, including response costs, lost income, extortion payments and claims from others. Contractors are targeted through fake invoices, payment-change requests and stolen email accounts.
How cyber losses hit a contractor
- A fake email changes the payment instructions on a supplier or subcontractor invoice and your payment goes to a criminal
- A criminal takes over an employee's email and sends fraudulent invoices to your customers
- Ransomware locks your estimating, accounting or scheduling system and stops work
- Stolen customer, employee or bank information requires notification and credit monitoring
What cyber policies usually include
| Coverage | What it pays for |
|---|---|
| Breach response | Forensics, legal help, notifying people, credit monitoring |
| Business interruption | Lost income and extra expense while systems are down |
| Cyber extortion | Ransom demand and negotiation costs |
| Funds transfer / social engineering fraud | Money lost to a fake payment instruction. Often sub-limited, so check the amount |
| Liability | Claims from customers or others affected by the breach |
What carriers usually ask for
- Multi-factor authentication on email and remote access
- Regular, tested backups that are kept offline or separate
- A call-back or second-approval process before changing payment instructions
- Up-to-date security software and patches
Get a cyber quote
Tell us your revenue, how you take payments, and whether you use MFA and backups and we will price it. Some contractors can add cyber to a package policy. Call (858) 925-9555 or request a review online — only your name, phone and email are required; we collect project details by phone. Asena Capital Insurance Services, CA License #6008596.
Frequently asked questions
Does general liability cover cyber attacks?
No. Most general liability policies exclude data breaches and electronic fraud.
Does cyber insurance cover a fake invoice scam?
Some policies cover funds transfer or social engineering fraud, often with a lower sub-limit. Check the amount.
What do insurers require for cyber coverage?
Most ask for multi-factor authentication, backups and a payment-verification process.
Does a small contractor need cyber insurance?
If you pay vendors by email instructions or store customer information, you have the exposure.