A new insurance partnership between Liberty International Underwriters and CyberRiskPartners’ CloudInsure will provide insurance backing for cloud providers and the businesses that utilize them. The two companies hope the new platform will reinforce cloud companies’ commitment to protect the data stored in a cloud by outside businesses, and in turn help boost the cloud industry.
Oliver Brew, vice president of technology for LIU, says recruiting new business can be a challenge for cloud providers because of concerns over data security. Businesses worry that if they store their data with a cloud provider and a breach occurs, they will not be compensated for the loss of that data or the recovery and breach response costs. In fact, traditional cyber liability policies usually exclude losses incurred by a third party, such as a cloud provider.