System Damage and Business Interruption 

⇒  System Damage And Rectification Costs  

The Insurer reimburses the client for the additional cost of employing:

• Contract staff or overtime costs for employees to rebuild client’s data, including the cost of data re-entry or data re-creation;
• Specialist data recovery consultants, including IT forensic consultants, to recover client’s data or applications; 
• Specialist consultants or overtime costs for employees working within the client’s IT department to reconstitute the client’s computer systems to the position they were in immediately prior to the cyber event;
• Reasonably and necessarily incurred as a direct result of a cyber event first discovered by the client during the period of the policy.

⇒  Direct Loss Of Profits And Increased Cost Of Working 

The Insurer reimburses the client for the client’s direct loss of profits and increased cost of working sustained during the indemnity period as a direct result of an interruption to the client’s business activities caused by the client’s computer systems downtime arising directly out of a cyber event or system failure which is first discovered by the client during the period of the policy, provided that the computer systems downtime lasts longer than the waiting period.

⇒  Additional Increased Cost Of Working 

The Insurer agrees to reimburse the client for any reasonable sums necessarily incurred during the indemnity period that is in addition to the client’s normal operating expenses and the increased cost of working:

• To source client’s products or services from alternative sources in order to meet contractual obligations to supply client’s customers;
• To employ contract staff or overtime costs for employees in order to continue the client’s business activities;
• To employ specialist consultants, including IT forensic consultants to diagnose the source of the computer systems downtime; 
• For employees working overtime within the client’s IT department to diagnose and fix the source of the computer systems downtime;

⇒  Dependent Business Interruption 

The client agrees to reimburse the client for the client’s direct loss of profits and increased cost of working sustained during the indemnity period as a direct result of an interruption to client’s business activities arising directly out of any sudden, unexpected and continuous downtime of computer systems used directly by a supply chain partner which is first discovered by the client during the period of the policy, provided that the computer systems downtime lasts longer than the waiting period and arises directly out of any cyber event or system failure.

⇒  Consequental Reputational Harm 

The Insurer reimburses the client for the client’s direct loss of profits sustained during the reputational harm period as a direct result of the loss of current or future customers caused by damage to the client's reputation solely as a result of a cyber event first discovered by the client during the period of the policy.

⇒  Claim Preparation Costs 

The Insurer agrees to pay on the client’s behalf any reasonable sums necessarily incurred for professional fees to determine the amount of the client’s direct loss of profits and increased cost of working sustained following an event covered under the clauses of the insurance.

⇒  Hardware Replacement Costs 

The Insurer agrees to pay on the client’s behalf any reasonable sums necessarily incurred to replace any hardware forming part of the client’s computer systems, in the event the client’s software or firmware has been corrupted by a cyber event first discovered by the client during the period of the policy which directly results in the software or firmware being rendered unusable, provided that replacing the hardware is a more time efficient and cost-effective solution than installing new firmware or software onto client’s existing hardware.

The Insurer will only pay for the costs to replace the client’s existing hardware with a model of hardware that meets the minimum requirements to support the installation and operation of new firmware or software.