Whilst Lockton has held the compulsory Professional Indemnity Scheme since 1991, the Scheme traces its origins back to a brick and mortar era, well before IT became mainstream. As risks evolved, so did the Scheme cover for cyber risks, including liability, privacy breach events, notification and forensic investigation costs. However, the Scheme policy, being a third party professional liability policy, was not designed to offer comprehensive cover for cyber risks. Therefore, Lockton negotiated with Delta Insurance to come up with a comprehensive, simple and competitive cyber risk transfer solution. This is a standalone cyber policy which complements the Scheme policy’s existing cyber risk cover.

Cyber risk for businesses is fundamentally driven by an increasing reliance on IT to transact business and collect information. An interruption to business’s network requires additional expenses to return to normal functionality, and may cause loss of revenue. Businesses may breach regulations protecting corporate or personal information. Law practices, like most businesses, face an increasingly risky cyber threat landscape. Cyber insurance is a viable option to manage your risk.