A United States Court of Appeals has settled a coverage dispute between an accountant and her home insurer over client data she lost.
The accountant had a CD with 30,000 individual names and social security numbers of a pension fund she was working with stored in her car. When the CD went missing the fund paid over $200,000 to provide credit monitoring to the persons involved and came after her to reimburse them.
The accountant attempted to file a claim under her home insurance policy, which the court of appeals ruled did not have to provide coverage.
InsureAccountants.com reminds it’s clients that with the growing costs of protecting confidential data almost all insurers have excluded coverage for these types of claims under their policies. Work with an expert broker to ensure the coverage you need is place on it’s own or rolled explicitly into an existing policy.