Many of the policies, with premiums ranging from $6,000 to $37,000, limit coverage to just $1 million, which in today's world rarely comes close to covering the total expenses.
And those limits may decline. "As technology risks continue to evolve, many carriers are starting to pull back on the types of industries and risks they will cover," Marciano said.
In short, cyber insurance can ease the pain, but it won't eliminate it. "Most policies are nowhere near inclusive of all cost associated with breaches," Rafferty said, "but they can certainly offset the cost of the response and first-party monetary loss for breach victims."
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