Cyber insurance for sports and fitness businesses

Data breaches and cyberattacks can be devastating for sports and fitness businesses, especially if your customers' payment information is compromised. State laws might require you to notify all affected customers or provide them with credit monitoring services.

These costs add up quickly. You might also have to pay for a data breach investigation and data recovery. Or if you're the victim of a ransomware attack, you might be pressured into paying costly cyber extortion demands.

That's why businesses that store customer information, or depend on computers in any way to conduct business, need cyber insurance. This policy covers costs related to data breaches and cyberattacks, and provides essential support and resources.

This policy provides coverage related to:

• Data breaches
• Ransomware
• Phishing
• Malware
• Denial of service (DOS) attacks
• Other cyber incidents that disrupt business and expose personal information

Sports and fitness businesses usually add cyber liability insurance to their general liability insurance or business owner's policy (BOP) as an endorsement.

This coverage is also called data breach insurance. It provides financial protection against cyber threats at your own business.

For example, it would help your fitness business recover after a hacker accessed your customers' credit card numbers, or an employee accidentally clicked on a phishing link and downloaded a virus.

Cyber liability insurance can help pay for:

• The cost of notifying customers affected by a data breach
• Providing credit monitoring services to affected customers
• Public relations campaigns to aid your business's recovery
• Business interruption losses related to cyber crime
• Cyber extortion payments
• Data breach investigations and other recovery activities

Data breaches are expensive, and owning a small business doesn't mean you're safe from hackers. Small companies are often targeted by cybercriminals because they have fewer security measures in place. On top of that, simple accidents by employees – such as opening a phishing email – are a common cause of data breaches.

Cyber liability insurance protects against cyber risks, but you still need coverage for common lawsuits and accidents. Sports and fitness business owners should also consider:

General liability insurance: This policy covers expenses related to customer injuries and property damage. It also covers advertising injuries, such as an accusation of slander.

Business owner's policy: A BOP bundles general liability coverage with commercial property insurance, often at a lower premium than if the policies were purchased separately.

Professional liability insurance: This policy covers legal costs related to negligence, such as improper instruction that led to an injury. It's sometimes referred to as errors and omissions insurance (E&O).

Workers' compensation insurance: Workers' comp is required by most states for businesses with employees. It helps pay for medical expenses from work-related injuries.

Commercial auto insurance: This policy covers the cost of an accident involving your work vehicle. State laws determine how much auto liability insurance you need.

Are you ready to safeguard your sports and fitness business with cyber liability insurance? Complete Insureon’s easy online application today. Once you find the right policy, you can begin coverage in less than 24 hours.