If your entire firm’s files were wiped out by ransomware, would you be able to recover? The case study Backup Breakdown released by CFC Underwriting demonstrates the importance of the data recovery insuring agreement.
The example reviews the impact that WannaCry had on a small London engineering firm. They, like most other businesses, are extremely reliant upon data to conduct their business and do it efficiently. Without the data recovery insuring agreement, this firm would not only have been on the hook for the cost associated with recovering their lost data but would have also had to find the appropriate vendors to assist.
The case study closes by comparing data recovery and data re-creation. This is a topic that is widely overlooked. Standard data recovery wording provides protection for replacement or restoration, but only until it has been determined that the data cannot be replaced or restored.
There are a few carriers that have greatly expanded the data recovery insuring agreements, providing coverage for the re-creation of data. Therefore, once the data has been deemed unrecoverable the remaining limits will go to re-creating the lost data. This can be a significant coverage enhancement for an organization like the engineering firm discussed in the case study, a pharmaceutical company with its data from clinical trials, or many others in various industries.
You can read the full case study here. If you have any questions about how you can establish or enhance your coverage in the event of a ransomware attack, please contact me directly at 804.237.5923 or at firstname.lastname@example.org.