CAMICO Introduces Cyber for CPAs

PRODUCT: CyberCPA℠

COMPANY: CAMICO Mutual Insurance Company

BEST RATING: B+ (Good)

AVAILABILITY: Coverage is available through appointed agents only.

FOCUS: Because the accounting profession has become more reliant on electronics, the nature and degree of risks to which accountants are subject have changed and broadened. Prying eyes and diversion of private information pose significant risks to the profession. Accounting professionals need the ability to protect themselves from risks with which they may be unfamiliar, but which can wreak havoc on their firms and clients.

Founded and operated by certified public accountants to address the unique risks of accounting professionals, CAMICO Mutual Insurance Company now offers CyberCPA: a specialty product available to its policyholders who have CAMICO professional liability insurance.

UNDERWRITING: CyberCPA provides first-party coverage for expenses the policyholder incurs resulting from misuse, destruction, theft, corruption or degradation of electronic data in service, as well as failure of the firm’s computer network due to employee mistakes. Coverage also extends to cyberattacks and third-party service provider mistakes, as well as expenses related to breach of privacy, cyber extortion and cyber terrorism.

A zero deductible applies to each core coverage. The limit of liability for each core coverage is $50,000 for each insured event and in the aggregate. A separate $50,000-250,000 aggregate limit for all core coverages may be available, depending on the number of professionals in the firm. Core coverages consist of:

Privacy breach response: coverage for reasonable legal, public relations, advertising, IT forensics, call center and credit monitoring fees; costs to provide identity theft education and assistance to affected individuals; and postage expenses the firm incurs in response to a privacy breach. NAS Insurance Services coordinates comprehensive breach response services, including legal counsel, IT security and forensic experts, public relations and advertising support, breach notifications to clients, credit monitoring, and identity theft education and assistance.

Network asset protection (including nonphysical business interruption): coverage for reasonable and necessary sums required to recover and/or replace data that is compromised, damaged, lost, erased or corrupted due to accidental damage or destruction of electronic media or computer hardware, administrative or operational mistakes in the handling of data, or computer crime and attacks. Coverage also includes business interruption and extra expense coverage for income loss resulting from a total or partial interruption of the firm’s computer system caused by any of the above events.

Cyber extortion: coverage for extortion expenses and extortion monies incurred as a direct result of a credible cyber extortion threat.

Cyber terrorism coverage: applies to income loss and interruption expenses incurred as a direct consequence of a total or partial interruption of the firm’s computer system due to a cyber terrorism attack.

MINIMUM PREMIUM: $40 per professional. The premium is automatically included in the CAMICO professional liability policy, with the option to opt out.

TARGET: Certified public accountants and other accounting professionals.

COVERAGE TERRITORY: Washington, D.C. and all U.S. states except AK, HI, MT, WY and VT.

CONTACT: Tommy Luong, business development manager; CAMICO Mutual Insurance Company, 1800 Gateway Drive, Suite 300, San Mateo, CA 94404; 800-652-1772.

Ronimarie Acord is an IA contributor.