From: CFO
Insurers are excluding privacy risks from general-liability policies and offering companies more costly stand-alone cyber coverage.
Tremors from two recent cyber breaches are still reverberating in the corner offices of companies and insurance underwriters alike.
The first incident was “celebgate”— the theft and online posting of revealing photos of celebrities like Jennifer Lawrence and Kate Upton in late August. Presumably fearing that hackers had targeted the victims’ iPhones or that the theft had resulted from a breach in iCloud, Apple rushed to control the damage. Following a 40-hour probe, the company “discovered that certain celebrity accounts were compromised by a very targeted attack on usernames, passwords, and security questions, a practice that has become all too common on the Internet,” according to a September 2 statement on Apple’s website.
“None of the cases we have investigated has resulted from any breach in any of Apple’s systems including iCloud or Find my iPhone.” The statement added that Apple was continuing to work with law enforcement agencies to find the “criminals” involved.
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