Insurance Provides IT Firms Protection Against Increasing Financial Injury, Intellectual Property and Privacy Risks
Insurance Provides IT Firms Protection Against Increasing Financial Injury, Intellectual Property and Privacy Risks
WARREN, NJ, September 16, 2009 – The increasing scope and pervasive use of information and network technology in all aspects of today’s business processes
are exposing technology providers to an array of lawsuits from their customers and others alleging that their products or
services caused privacy violations, intellectual property infringements or other financial injuries. To help protect information
and network technology companies from these evolving risks, the Chubb Group of Insurance Companies has created Integrity+,
a solution that blends errors and omissions insurance (E&O) with protection for emerging technology-related injuries and privacy
remediation expenses.
“Technology companies are offering a wider array of products and services that may create new exposures. For instance, an
employee at a software developer may infringe another company’s copyright-protected source code, or a flaw in electronic medical
record software might enable a hacker to compromise a hospital patient’s privacy. A traditional errors and omissions insurance
policy may not offer the breadth of insurance needed to help protect a technology firm from such evolving risks,” said Veronica
Somarriba, vice president, Chubb & Son, and worldwide manager for Chubb’s technology segment. “Integrity+ is an enterprise-wide,
integrated solution that retains the key features of our existing E&O policy, augmented by enhanced essential insurance protection
such as media liability and intellectual property infringement liability and reimbursement of privacy remediation expenses.”
Integrity+ includes the following state-of-the-art insurance features:
- Product or Service Financial Injury (Errors & Omissions) – Liability insurance protection against claims or suits for financial
injuries suffered by another person or an organization caused by defects or deficiencies in the insured’s products or services.
- Technology-Related Injury – Liability insurance protection against claims or suits against the insured for financial injuries
suffered by competitors or customers relating to the insured’s business or products/services, including infringement of intellectual
property (including computer source and object code); violation of a person’s right of privacy or publicity; false arrest,
false detention or malicious prosecution; and libel, slander and product disparagement. Integrity+ does not contain Internet
or media-type business exclusions.
- Privacy Remediation Expense – Reimbursement of expenses incurred to comply with state, federal and foreign laws that require
customer notification of a privacy data breach.
Customers can purchase any combination of these features with options for deductibles and limits. Integrity+ is available
worldwide as a claims-made or claims-made and reported policy.
“Technology will continue to play a critical role in addressing energy efficiency, medical delivery and treatment, and myriad
other processes in the manufacturing and service sectors,” said Somarriba. “Broad definitions, cutting-edge insuring clauses
and a choice in the level of protection make Integrity+ a smart choice for technology companies, both large and small, that
want to manage today’s and tomorrow’s exposures to risk.”
The member insurers of the Chubb Group of Insurance Companies form a multi-billion dollar organization providing property
and casualty insurance for personal and commercial customers worldwide through 8,500 independent agents and brokers. Chubb's
global network includes branches and affiliates throughout North America, Europe, Latin America, Asia and Australia.
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