Three scenarios dominate the claims data. First, a compromised vendor email chain leads your AP team to redirect a legitimate invoice payment to a new bank account controlled by a criminal. Second, a spoofed executive email instructs your controller to wire funds for a confidential acquisition or urgent tax payment. Third, a threat actor compromises your company's own email system and intercepts outbound payment instructions to your clients, redirecting incoming payments. Each scenario triggers a different coverage grant, and some policies cover only one or two of the three.
Common Wire Transfer Loss Scenarios
A single compromised employee credential at a 50-person manufacturing firm in Grand Rapids can trigger a chain of costs that most business owners never anticipate: forensic investigators, breach counsel, regulatory filings, notification mailings, and credit monitoring for every affected individual. Michigan data breach response insurance exists specifically to absorb those costs, but the details of how a policy form responds vary widely depending on insuring agreements, sublimits, and endorsements. For businesses across Detroit, Grand Rapids, and Ann Arbor, understanding the mechanics of forensic investigation coverage, breach coach and legal fees, and consumer notification limits is not optional: it is a financial planning requirement. The stakes are concrete. Forensic investigation costs alone can run between $200 and $800 per hour, and a mid-sized breach involving 10,000 records can push total response costs well past six figures before any regulatory fine or lawsuit is filed. This guide breaks down the specific coverage components Michigan businesses should evaluate, the regulatory environment shaping those decisions, and how to match policy limits to your actual exposure. If you hold personal data for Michigan residents, the structure of your breach response coverage will determine whether an incident is a manageable event or a threat to your company's survival.
Understanding Michigan's Data Breach Landscape
Michigan's regulatory framework for data breaches is shifting, and businesses that have not revisited their compliance obligations recently may be operating on outdated assumptions. The state has historically relied on the Identity Theft Protection Act (ITPA) of 2004, but pending legislation would significantly expand notification requirements and enforcement mechanisms. Understanding both the current law and the likely direction of regulation is essential for sizing your coverage correctly.
The risk profile also varies by region. A healthcare practice in Ann Arbor faces different exposure than a logistics company in Detroit or a SaaS startup in Grand Rapids. Your policy form should reflect those differences, not paper over them with a generic template.
Michigan Identity Theft Protection Act Compliance
Under the existing ITPA, any person or entity that owns or licenses data containing personal information of Michigan residents must provide notice of a security breach without unreasonable delay. The law covers Social Security numbers, driver's license numbers, and financial account information when combined with a name. Penalties for noncompliance can reach $250 per failure to notify, capped at $750,000 per incident.
That said, the regulatory picture is about to change. Michigan's pending Senate Bills 360 through 364 would require businesses to notify the Attorney General of any breach affecting 100 or more residents within a compressed timeline. These bills would also broaden the definition of personal information and increase enforcement authority. A breach response insurance policy that covers regulatory defense costs and notification expenses becomes substantially more important under this expanded framework.
Regional Risks: Detroit, Grand Rapids, and Ann Arbor Markets
Detroit's concentration of automotive suppliers and financial services firms means that many businesses hold both proprietary trade data and consumer financial records, creating dual exposure. Grand Rapids has a growing healthcare and manufacturing base where HIPAA-regulated data intersects with state breach notification law. Ann Arbor's technology and education sectors process large volumes of student records and research data, both of which carry specific regulatory obligations.
Each of these markets produces a different claim profile. A breach response policy for a Detroit fintech company should carry higher notification sublimits than one for a small professional services firm in Grand Rapids. Regional risk assessment is not abstract: it directly shapes the insuring agreements you need.
By: Caden Braly
Founder of Bloc Cyber Insurance
INDEX
Bloc Cyber and Its Licensed Producers Are Authorized to Place Cyber Coverage in All 50 U.S. States and The District of Columbia.
Cyber liability insurance covers the financial losses your business faces after a cyberattack or data breach. This page explains what the coverage includes, who needs it, what it costs, and how Bloc Cyber helps you get protected fast.
We start with a twenty-minute call to walk through your contracts, your draw process, your tech stack, and the last twelve months of attempted fraud. From there we go to market with ten-plus carriers, benchmark terms side-by-side, and present the options in plain language with recommended limits and retentions. Most intakes get indicative terms within one business day.
Forensic Investigations: Identifying the Source and Scope
Forensic investigators determine how the attacker got in, what data was accessed, whether exfiltration occurred, and whether the threat actor is still present in the network. Their report drives every downstream decision: which individuals must be notified, whether payment card brands must be alerted, and what remediation steps are necessary. Forensic engagements for mid-market companies commonly run between $30,000 and $150,000, depending on the complexity of the environment. The policy form may impose a separate sublimit on forensic costs or bundle them under a single breach response aggregate. Bloc Cyber reviews these sublimits at the insuring-agreement level before binding, so clients understand exactly how much forensic coverage they are purchasing and where the cap sits relative to their actual exposure.
Core Components of Data Breach Response Insurance
A well-structured breach response policy form typically includes three primary coverage blocks: forensic investigation, breach coach and legal fees, and consumer notification services. Each block responds to a different phase of the incident, and each carries its own sublimits and conditions. Understanding what triggers each coverage grant, and where it stops, is the difference between a policy that performs and one that leaves you exposed.
Forensic Investigations: Finding the Source of the Leak
When a breach is suspected, the first operational need is determining what happened. Forensic investigators examine network logs, endpoint data, and system configurations to identify the attack vector, the scope of compromised records, and whether the threat actor still has access. This work is time-sensitive and expensive. Hourly rates for qualified forensic firms typically range from $200 to $800, and a complex investigation can take weeks.
Most breach response policy forms cover forensic costs, but the details matter. Some forms require you to use a pre-approved panel vendor; others allow you to select your own firm with carrier consent. Sublimits on forensic investigation can be as low as $50,000 on entry-level policies, which may not be sufficient for a breach involving multiple systems. At Bloc Cyber, we review the forensic sublimit against the insured's actual data environment before binding, because a $50,000 cap on a company storing 200,000 records is a gap, not a limit.
Breach Coach and Legal Fees: Navigating Regulatory Requirements
A breach coach is typically an attorney from a specialized privacy law firm who coordinates the entire response: advising on notification obligations, managing regulatory communications, and directing forensic and notification vendors. This role is critical because Michigan's notification timelines and content requirements are specific, and errors in the notification process can create independent liability.
Legal fees for breach response counsel can accumulate rapidly, particularly when the breach triggers obligations under multiple state laws or federal regulations like HIPAA. Your policy form should cover breach coach fees as a first-party cost, separate from any third-party defense coverage. Watch for retentions that apply specifically to legal fees: some forms apply the full retention to breach counsel costs before the carrier pays anything, which can mean $10,000 to $25,000 out of pocket before coverage kicks in.
Consumer Notification and Credit Monitoring Services
Once the scope of a breach is confirmed, Michigan law requires notification to affected individuals. The cost per notification, including printing, mailing, call center setup, and credit monitoring enrollment, ranges from roughly $5 to $30 per record depending on the services offered. For a breach affecting 25,000 records, that is $125,000 to $750,000 in notification and monitoring costs alone.
Policy forms vary considerably in how they cap these expenses. Some provide a per-record sublimit; others set an aggregate cap for the entire notification block. Credit monitoring duration matters too: a policy that covers 12 months of monitoring provides a different value than one covering 24 months. These details are buried in endorsements and sublimit schedules, which is exactly why a form-level review before binding is essential.
We start with a twenty-minute call to walk through your contracts, your draw process, your tech stack, and the last twelve months of attempted fraud. From there we go to market with ten-plus carriers, benchmark terms side-by-side, and present the options in plain language with recommended limits and retentions. Most intakes get indicative terms within one business day.
FAQ: Does my general business insurance cover hacking?
Almost certainly not. Standard CGL and BOP policies contain electronic data exclusions. Even if your policy has a small "data breach" endorsement, it is typically capped at $50,000 to $100,000, which will not cover a meaningful incident. A standalone cyber liability form provides the breadth and limits required for a real claim.
FAQ: How does a consent order affect my future premiums?
A consent order signals increased risk to underwriters. Expect premium increases at renewal, potentially 25 to 100 percent or more depending on the severity of the order and your compliance track record. Some carriers may decline to renew entirely if the consent order reveals systemic compliance failures.
Law firm cyber coverage is not a commodity product you can purchase by checking a box on a general liability application. The risks are specific: trust account fraud, privileged document exposure, deal data theft, multi-state notification obligations, and business interruption measured in lost billable hours. Your policy needs to reflect those risks at the insuring-agreement level, with sub-limits and retentions that match your actual exposure.
Do not wait for a breach to discover that your social engineering sub-limit is $100,000 on a $1.2 million wire or that your business-interruption waiting period is 24 hours when your systems were down for a week. If you are purchasing your first cyber policy or renewing an existing one, have a specialist review the actual policy form with you. Bloc Cyber's practice is built entirely around cyber, technology E&O, and AI liability placement. You can
request a coverage review to have a specialist walk through the insuring agreements, sub-limits, and exclusions specific to your firm's risk profile before you bind.
Comparison: General Liability vs. Specialized Cyber Coverage
Many Michigan business owners assume their general liability or business owner's policy covers data breach costs. That assumption is almost always wrong. Standard GL policies contain broad exclusions for electronic data, and most BOP cyber endorsements provide only token coverage with low sublimits and narrow triggers.
Comparison Table: Coverage Scope and Limits
| Coverage Element | General Liability / BOP Endorsement | Standalone Breach Response Policy |
|---|---|---|
| Forensic Investigation | Typically excluded or sublimited to $5,000-$10,000 | Covered, with sublimits often $100,000-$500,000+ |
| Breach Coach / Legal Fees | Not covered | Covered as first-party expense |
| Consumer Notification | Rarely included; if so, minimal limits | Per-record or aggregate sublimit, often $250,000+ |
| Credit Monitoring | Not covered | 12-24 months, varies by form |
| Regulatory Defense | Separate sublimit, often $100,000 | Shared aggregate with defense costs |
| PCI Fines and Assessments | Excluded | May be covered by endorsement |
| Business Interruption | 8-hour waiting period, $100,000 cap | 6-hour waiting period, full limit |
| Business Interruption (cyber) | Excluded | Available with waiting period |
The gap between these two approaches is not subtle. A general liability policy is not designed to respond to cyber events, and treating a BOP endorsement as adequate cyber coverage is one of the most common mistakes we see among first-time buyers.
We start with a twenty-minute call to walk through your contracts, your draw process, your tech stack, and the last twelve months of attempted fraud. From there we go to market with ten-plus carriers, benchmark terms side-by-side, and present the options in plain language with recommended limits and retentions. Most intakes get indicative terms within one business day.
| Coverage Element | Commercial General Liability | Cyber Insurance |
|---|---|---|
| Data breach notification costs | Not covered | Covered under first-party |
| Ransomware payment | Not covered | Covered (subject to sublimit) |
| Regulatory defense | Not covered | Covered under third-party |
| Business interruption from cyberattack | Not covered | Covered with waiting period |
| Funds transfer fraud | Not covered | Covered via cyber crime endorsement |
| Third-party lawsuit over data loss | Excluded or severely limited | Covered under third-party liability |
| Technology product failure | Not covered | Covered under Tech E&O |
Most states have not passed explicit statutes declaring regulatory fines insurable or uninsurable. Instead, the question turns on public policy: courts in some jurisdictions hold that allowing insurance to pay a punitive or regulatory fine would undermine the fine's deterrent purpose. New York, for example, has case law suggesting that certain regulatory penalties are uninsurable on public policy grounds. Texas and California courts have taken different positions depending on the type of fine and the regulatory scheme involved.
Your policy form will typically include language stating that fines and penalties are covered "to the extent insurable under applicable law." This shifts the jurisdictional analysis to the time of claim. Bloc Cyber maintains state-by-state fluency in breach-notification triggers and regulatory defense exposure, which matters when your operations span multiple states with different public policy positions on fine insurability.
State-by-State Variations in Public Policy and Uninsurable Fines
Companies with operations in the EU, UK, or Asia-Pacific face additional complexity. GDPR fines imposed by European data protection authorities can reach four percent of global annual revenue. Whether a US-placed policy can respond to a GDPR fine depends on the policy's territorial scope, the choice-of-law provisions, and whether the jurisdiction where the fine is imposed permits its insurance.
Many standard cyber forms limit territorial coverage to the United States and its territories. If your company has employees, customers, or data processing activities in Europe, you need a form with international regulatory coverage or a locally admitted policy in the relevant jurisdiction. The cost of getting this wrong is not theoretical: monitor and compliance fees in cross-border enforcement actions can compound rapidly when multiple regulators coordinate investigations.
International Considerations for Multinational Regulatory Risks
Addressing Known Issues and Exclusions
Any issue identified during diligence that is disclosed to the underwriter becomes a known issue and is excluded from coverage. This is a fundamental principle of R&W insurance: it covers unknown breaches, not problems you already know about. Buyers sometimes assume they can disclose a problem and still obtain coverage for it. They cannot. The underwriter will carve out any known matter, and the buyer must negotiate a specific indemnity from the seller or accept the risk. This is where the interplay between your diligence process and your insurance placement becomes critical: thoroughness in diligence improves your coverage, but every issue you find narrows it.
For companies that carry cyber liability or technology E&O policies, this dynamic should feel familiar. At Bloc Cyber, we see a parallel in how cyber insurers evaluate a company's security posture before binding coverage: known vulnerabilities get excluded or trigger higher retentions, just as known issues do in R&W underwriting.
How much does cyber insurance cost for a small firm?
A firm of 10 to 25 attorneys can typically expect premiums in the range of $3,000 to $12,000 annually for $1 million in coverage, depending on practice areas, security controls in place, and claims history. Firms handling real estate closings or M&A work will pay more because of the wire-fraud exposure.
Your SOC 2 report documents what your controls look like. Your cyber policy form defines what happens financially when those controls fail. A first-party breach response grant typically covers forensic investigation, legal counsel, notification costs, and credit monitoring. A third-party liability grant covers defense costs and settlements arising from claims by affected individuals or businesses. Technology E&O coverage responds when a failure in your product or service causes financial harm to a client.
The critical question is whether the policy form covers the specific failure mode your SOC 2 report flagged. If your report noted an exception in access management and an attacker later exploited that exact weakness, the carrier's claims team will review whether the application was answered accurately. Misrepresentation on an application can void coverage entirely, which is why aligning your SOC 2 findings with your insurance application answers is not optional.
The table above shows that SOC 2 and cyber insurance requirements overlap heavily, but insurance applications often go further on specific technical controls. A SOC 2 report alone does not satisfy every underwriting question.
Determining Appropriate Coverage Limits for Your Business
Selecting the right coverage limit is not a guessing exercise. It requires a clear-eyed assessment of your data inventory, the sensitivity of the records you hold, and the regulatory environment governing your industry.
Evaluating Record Counts and Industry Sensitivity
Start with a realistic count of the personal records your organization stores, processes, or transmits. Include employee records, customer data, vendor information, and any data held by third-party processors on your behalf. A 75-employee healthcare practice in Ann Arbor may hold 50,000 patient records; a 30-person e-commerce company in Detroit might store 200,000 customer payment records.
Multiply your record count by a per-record cost estimate of $15 to $25 for notification and monitoring. That gives you a rough floor for your notification sublimit. Then add forensic costs, legal fees, and potential regulatory defense. For most small and mid-market Michigan businesses, breach costs can escalate quickly beyond initial estimates, making it critical to avoid underinsuring the response components.
First-Party vs. Third-Party Liability Limits
First-party coverage pays your own costs: forensics, notification, credit monitoring, business interruption. Third-party coverage responds to claims made against you by affected individuals, business partners, or regulators. Both are essential, but they serve different functions and often carry separate limits and retentions.
A common structure for a mid-market Michigan company is a $1 million aggregate limit with shared or separate sublimits for first-party and third-party coverage. Some carriers offer the option to purchase higher limits for one side without increasing the other. At Bloc Cyber, we evaluate whether the split between first-party and third-party limits matches the insured's actual exposure profile, because a company with 100,000 consumer records and minimal contractual liability needs a different allocation than a managed service provider with deep third-party obligations.
The gap between a basic crime policy and a comprehensive fraud protection program is significant. The table below highlights key differences.
We start with a twenty-minute call to walk through your contracts, your draw process, your tech stack, and the last twelve months of attempted fraud. From there we go to market with ten-plus carriers, benchmark terms side-by-side, and present the options in plain language with recommended limits and retentions. Most intakes get indicative terms within one business day.
This comparison illustrates why a general liability policy, even one with a broad "personal and advertising injury" grant, will not respond to a regulatory proceeding. The coverage must be placed specifically under a cyber or technology E&O form that includes regulatory defense as a named insuring agreement.
| Coverage Feature | Basic Crime Policy | Comprehensive Cyber with Fraud Coverage |
|---|---|---|
| Computer Fraud | Typically included | Included |
| Social Engineering | Optional endorsement, low sublimit | Included, higher sublimits available |
| Push Payment Fraud | Often excluded | May be covered as separate grant |
| Account Takeover | May fall under computer fraud | Explicitly covered |
| Forensic Investigation | Not covered | First-party expense coverage |
| Legal and Regulatory Costs | Not covered | Included |
| Callback Verification Required | Yes, strict condition | Yes, but terms vary by form |
| Typical Sublimit Range | $100K - $250K | $250K - $1M+ |
R&W retentions function similarly to a deductible but are typically structured as a percentage of enterprise value. A common retention for mid-market deals sits between 1% and 3% of the transaction value. On a $50 million deal, that means the buyer absorbs the first $500,000 to $1.5 million of covered losses before the insurer pays anything. The retention exists because underwriters expect the buyer's own diligence to catch smaller issues. Retention levels are negotiable and vary by carrier, deal size, and the quality of the diligence package presented during underwriting.
How Retention Works as a Deductible
The Transition from Retention to Drop-Down Coverage
Most R&W policies include a drop-down feature that reduces the retention, often by half, after a specified period, typically 12 months post-closing. If the original retention is $1 million, it drops to $500,000 after the first year. This mechanism reflects the assumption that the most significant breaches surface early. The reduced retention in the later period provides the buyer with more accessible coverage for claims that emerge after the initial post-closing adjustment period. Some policies offer a full drop to zero retention after 18 or 24 months, though this depends on the specific terms negotiated with the underwriter.
Common Questions About Michigan Cyber Insurance
Does Michigan law require businesses to carry cyber insurance? No. Michigan does not mandate cyber insurance. The state does, however, require breach notification, and the costs of complying with that obligation are what breach response coverage is designed to address.
Will my general liability policy cover a data breach? Almost certainly not. Standard GL policies exclude electronic data losses. Even BOP endorsements with a cyber rider typically cap coverage at $5,000 to $25,000, which is insufficient for most incidents.
How quickly must I notify affected individuals under Michigan law? The current ITPA requires notification without unreasonable delay. Pending legislation would impose a specific deadline tied to discovery of the breach, with mandatory Attorney General notification for incidents affecting 100 or more residents.
What is a breach coach, and do I need one? A breach coach is a specialized privacy attorney who manages the legal and operational response. Most policy forms require you to engage a breach coach from an approved panel before incurring other response costs.
Are PCI fines covered under a breach response policy? Some forms include PCI fines and assessments by endorsement. Others exclude them. This is a coverage point that requires specific review of the policy language before binding.
We start with a twenty-minute call to walk through your contracts, your draw process, your tech stack, and the last twelve months of attempted fraud. From there we go to market with ten-plus carriers, benchmark terms side-by-side, and present the options in plain language with recommended limits and retentions. Most intakes get indicative terms within one business day.
| Coverage Element | Commercial General Liability | Cyber Insurance |
|---|---|---|
| Data breach notification costs | Not covered | Covered under first-party |
| Ransomware payment | Not covered | Covered (subject to sublimit) |
| Regulatory defense | Not covered | Covered under third-party |
| Business interruption from cyberattack | Not covered | Covered with waiting period |
| Funds transfer fraud | Not covered | Covered via cyber crime endorsement |
| Third-party lawsuit over data loss | Excluded or severely limited | Covered under third-party liability |
| Technology product failure | Not covered | Covered under Tech E&O |
Most states have not passed explicit statutes declaring regulatory fines insurable or uninsurable. Instead, the question turns on public policy: courts in some jurisdictions hold that allowing insurance to pay a punitive or regulatory fine would undermine the fine's deterrent purpose. New York, for example, has case law suggesting that certain regulatory penalties are uninsurable on public policy grounds. Texas and California courts have taken different positions depending on the type of fine and the regulatory scheme involved.
Your policy form will typically include language stating that fines and penalties are covered "to the extent insurable under applicable law." This shifts the jurisdictional analysis to the time of claim. Bloc Cyber maintains state-by-state fluency in breach-notification triggers and regulatory defense exposure, which matters when your operations span multiple states with different public policy positions on fine insurability.
State-by-State Variations in Public Policy and Uninsurable Fines
Companies with operations in the EU, UK, or Asia-Pacific face additional complexity. GDPR fines imposed by European data protection authorities can reach four percent of global annual revenue. Whether a US-placed policy can respond to a GDPR fine depends on the policy's territorial scope, the choice-of-law provisions, and whether the jurisdiction where the fine is imposed permits its insurance.
Many standard cyber forms limit territorial coverage to the United States and its territories. If your company has employees, customers, or data processing activities in Europe, you need a form with international regulatory coverage or a locally admitted policy in the relevant jurisdiction. The cost of getting this wrong is not theoretical: monitor and compliance fees in cross-border enforcement actions can compound rapidly when multiple regulators coordinate investigations.
International Considerations for Multinational Regulatory Risks
Addressing Known Issues and Exclusions
Any issue identified during diligence that is disclosed to the underwriter becomes a known issue and is excluded from coverage. This is a fundamental principle of R&W insurance: it covers unknown breaches, not problems you already know about. Buyers sometimes assume they can disclose a problem and still obtain coverage for it. They cannot. The underwriter will carve out any known matter, and the buyer must negotiate a specific indemnity from the seller or accept the risk. This is where the interplay between your diligence process and your insurance placement becomes critical: thoroughness in diligence improves your coverage, but every issue you find narrows it.
For companies that carry cyber liability or technology E&O policies, this dynamic should feel familiar. At Bloc Cyber, we see a parallel in how cyber insurers evaluate a company's security posture before binding coverage: known vulnerabilities get excluded or trigger higher retentions, just as known issues do in R&W underwriting.
Post-Incident Forensic and Legal Obligations
After a SCADA or OT intrusion, you will likely face parallel investigations: your own internal forensic team, your insurer's panel forensics firm, CISA, and potentially your state public utility commission. A coordinated attack on Minnesota water utilities demonstrated how quickly a regional incident can trigger multi-agency scrutiny.
Your policy should not restrict your choice of forensic investigators to a panel that lacks OT expertise. If the form requires you to use a pre-approved vendor, confirm that vendor has ICS forensic capability. The wrong forensic team can miss artifacts specific to industrial protocols like Modbus or DNP3, leaving you with an incomplete investigation and a disputed claim.
How much does cyber insurance cost for a small firm?
A firm of 10 to 25 attorneys can typically expect premiums in the range of $3,000 to $12,000 annually for $1 million in coverage, depending on practice areas, security controls in place, and claims history. Firms handling real estate closings or M&A work will pay more because of the wire-fraud exposure.
Making the Right Choice for Your Security Strategy
Michigan businesses holding personal data face a regulatory environment that is becoming more demanding, not less. The combination of existing ITPA obligations and pending legislation means that breach response costs are a foreseeable expense, and the only question is whether those costs come out of your operating budget or are transferred to a policy form designed to absorb them.
The difference between a policy that works and one that fails you during a claim comes down to the details: sublimits on forensics, retention structures on legal fees, per-record caps on notification, and the split between first-party and third-party limits. Generic bundled coverage rarely addresses these specifics with the precision a real incident demands.
If your organization has not had a form-level review of its breach response coverage, or if you are purchasing cyber insurance for the first time, a specialist review can identify gaps before a claim finds them. Bloc Cyber's practice is built around exactly this kind of analysis. Request a coverage review to have a specialist walk through the policy form with you and confirm that your limits, retentions, and insuring agreements match your actual risk.
ABOUT THE AUTHOR
Caden Braly
— Founder, Bloc Cyber
I'm Caden Braly, founder of Bloc Cyber, the specialty cyber insurance arm of Braly Insurance. I built Bloc Cyber around one idea: businesses deserve coverage that actually responds when a cyberattack happens. I work closely with clients to understand their exposure, place the right policy through specialty carriers, and stand with them through the claim. My goal is simple — give every business straight answers and protection they can trust.
Full profile → caden@bloccyber.com LinkedIn
Industries We Protect
Cyber Coverage Built for Your Industry
Every industry faces a different cyber threat, from patient records in healthcare to wire fraud in construction. Bloc Cyber matches coverage to the risks your sector actually faces, drawing on specialty carriers that understand your business. Find your industry below to see how we protect it.
Healthcare
Banking
Retail / E-Commerce
Legal
Technology / SaaS
Education
Energy / Utilities
Manufacturing
Construction
Defense
Healthcare
HIPAA-grade protection for patient data
725
healthcare breaches disclosed in 2024
HIPAA-grade protection for patient data
▣ Ransomware on EHR systems
▣ PHI exfiltration
▣ Medical device exploits
▣ Business email compromise
Sub-sectors we place
Hospitals and health systems
Physician practices and specialty clinics
Dental practices and DSOs
Behavioral health and addiction treatment centers
Medical billing and revenue cycle management firms
Typical turnaround for indication of terms: 1 business day.
Banking
Coverage that meets FFIEC and NYDFS expectations
$5.9M
average cost of a financial sector breach
Common threats we underwrite against
▣ Wire fraud and BEC
▣ Credential stuffing
▣ Third-party vendor risk
▣ Ransomware
Sub-sectors we place
Community banks
Credit unions
Mortgage lenders and loan originators
Wealth management and RIAs
Payment processors and merchant acquirers
Typical turnaround for indication of terms: 1 business day.
Retail / E-Commerce
PCI-DSS aligned coverage for every checkout
42%
of retailers hit by ransomware in the last year
Common threats we underwrite against
▣ Magecart / card skimming
▣ POS malware
▣ Account takeover
▣ Supply-chain intrusion
Sub-sectors we place
Direct-to-consumer (DTC) brands
Shopify and marketplace sellers
Brick-and-mortar multi-location retailers
Restaurants and QSR franchises
Grocery and specialty food retail
Typical turnaround for indication of terms: 1 business day.
Legal
Privilege, client files, and trust-account safeguards
1 in 4
law firms reported a breach in 2024
Common threats we underwrite against
▣ Wire-transfer fraud
▣ Privileged data theft
▣ Email account compromise
▣ Ransomware
Sub-sectors we place
AmLaw / large firms
Boutique litigation firms
Personal injury and plaintiffs’ firms
Estate planning and trust attorneys
Title and real estate closing firms
Typical turnaround for indication of terms: 1 business day.
Technology / SaaS
SOC 2 and ISO-aligned risk transfer
$4.88M
avg. cost of a SaaS breach in 2024
Common threats we underwrite against
▣ Supply-chain attacks
▣ Cloud misconfiguration
▣ Token and key theft
▣ Zero-day exploits
Sub-sectors we place
B2B SaaS platforms
Managed service providers (MSPs) and MSSPs
Fintech startups
AI and machine learning companies
Cloud hosting and infrastructure providers
Typical turnaround for indication of terms: 1 business day.
Education
FERPA-aligned coverage for student and research data
80%
of K–12 districts hit by ransomware since 2022
Common threats we underwrite against
▣ Ransomware on district networks
▣ Student PII theft
▣ Fake invoice fraud
▣ DDoS on exam platforms
Sub-sectors we place
K-12 public school districts
Private and charter schools
Colleges and universities
EdTech platforms
Tutoring, test prep, and online learning providers
Typical turnaround for indication of terms: 1 business day.
Energy / Utilities
OT and IT coverage for critical infrastructure
24/7
operational-tech monitoring requirements
Common threats we underwrite against
▣ ICS/SCADA intrusion
▣ Nation-state actors
▣ Ransomware on OT
▣ Insider threat
Sub-sectors we place
Municipal utilities (water, electric, gas)
Oil and gas operators
Pipeline and midstream companies
Renewable energy (solar, wind) developers
Electric cooperatives and rural utilities
Typical turnaround for indication of terms: 1 business day.
Manufacturing
Business interruption protection for connected plants
25%
of all ransomware attacks target manufacturing
Common threats we underwrite against
▣ Ransomware halting production
▣ IP theft
▣ ICS exploits
▣ Vendor compromise
Sub-sectors we place
Industrial and heavy equipment manufacturers
Food and beverage processing
Pharmaceutical and medical device manufacturers
Automotive and parts suppliers
Aerospace component manufacturers
Typical turnaround for indication of terms: 1 business day.
Construction
Protection for project files, wires, and jobsite tech
$200K+
average wire-fraud loss in construction
Common threats we underwrite against
▣ Wire-transfer diversion
▣ BEC on project payments
▣ Stolen bid data
▣ Ransomware
Sub-sectors we place
General contractors
Commercial HVAC, electrical, and plumbing subs
Civil and infrastructure contractors
Homebuilders and residential developers
Architecture and engineering (A&E) firms
Typical turnaround for indication of terms: 1 business day.
Defense
CMMC, DFARS, and CUI-compliant risk transfer
CMMC
2.0 compliance required by 2026
Common threats we underwrite against
▣ CUI exfiltration
▣ Nation-state APTs
▣ Supply-chain compromise
▣ Cleared-personnel targeting
Sub-sectors we place
DoD prime contractors
CMMC-regulated subcontractors
Defense software and systems integrators
Aerospace and satellite contractors
Federal IT and cleared staffing firms
Typical turnaround for indication of terms: 1 business day.
The Bloc system
One foundation.
Ten industry-specific builds.
The Bloc mark is built from stackable planes — each one a different angle on the same core structure. That’s how we place coverage: one underwriting discipline, tuned and re-tuned for every industry we serve.
Coverage
A policy you can actually read.
Structured in three clean blocs.
01
First-Party
Your direct losses when an incident hits your business.
✓
Incident response & forensics
✓
Business interruption
✓ Data restoration
✓ Cyber extortion / ransomware
✓ Funds transfer fraud
✓ Reputational harm
02
Third-Party
Your liability to clients, partners, and regulators.
✓
Network security liability
✓
Privacy liability (HIPAA, GDPR, state laws)
✓ Regulatory defense & fines
✓ PCI-DSS fines and assessments
✓ Media liability
✓ Breach notification costs
03
Specialty
Advanced coverages for complex risks and contracts.
✓
Technology E&O
✓
Social engineering fraud
✓ Contingent business interruption
✓ Systems failure
✓ Bricking & hardware replacement
✓ CMMC / regulatory-specific endorsements
Typical limits placed
$1M / $1M starter
$5M / $10M mid-market
$25M+ layered towers
Custom retentions
Common Questions
Cyber Liability Insurance, Explained
What does cyber insurance cover?
Cyber insurance covers the financial losses from a data breach or cyberattack. This includes breach response, legal fees, customer notification, ransomware, business interruption, and regulatory fines, depending on your policy.
Does my business really need cyber insurance?
Yes. Any business that stores customer data, processes payments, or relies on connected systems faces cyber risk. Small and mid-sized companies are frequent targets because they often have fewer defenses.
How much does cyber insurance cost?
Cost depends on your industry, revenue, data volume, and security practices. We market your risk to multiple carriers to find strong coverage at a competitive price. Request a quote for an exact figure.
What is the difference between first-party and third-party cyber coverage?
First-party coverage pays for your own losses, like data recovery and lost income. Third-party coverage pays for claims from others harmed by a breach on your systems.
How fast can I get a quote?
Most clients receive a quote in under 24 hours after we review the details of their business and exposure.
What should I do first after a cyberattack?
Contact us right away. We help you start breach response, connect you with forensic and legal support, and guide your claim so you contain the damage quickly.
Insights
Field notes from the placement desk.
What carriers are asking right now.
Start a quote
Tell us about your business.
We’ll come back with terms.
We’ll review your stack, your contracts, and your exposure — then place the program against the right markets. Most intakes get indicative terms back within one business day.
01
Quick intake
We only ask what the carriers actually need.
02
Benchmark
Side-by-side terms from 10+ specialty cyber carriers.
03
Bind
Plain-language policy review, e-signed and in force.
