Is Ransomware Really Covered by Homeowners Insurance?

Episode 1588 (34:30)

Murray from New Jersey
CHUBB

Murray's home owner's insurance is now covering cyber-related incidents, including ransomware at up to $250k. What does Leo think? Leo says that's interesting because many insurance companies have declined to cover it because it's considered an "act of war" as part of a nation state's cyber warfare campaign. So Murray would have to read the policy very carefully to be sure there isn't an act of war clause that they can use to get out of paying any losses. Leo says that LifeLock will cover him up to $1 million with their backup service. Check out this article on CyberRisk Management by CHUBB - http://news.chubb.com/2019-03-19-Chubbs-First-Quarter-Cyber-InFocus-Report-Details-Ransomware-and-Malware-Trends