Todd M. Rowe authored the article, “Insurers and Policyholders Face Confusion in the Cyber Marketplace,” for the Fall 2015 edition of the American Bar Association’s TortSource. In an effort to address an audience that has extensive knowledge of the insurance industry but may not be entirely familiar with cyber incidents and cyber insurance, the article addresses the following basic cyber insurance issues:

The Current State of Cyber Insurance Policy Language

While TortSource’s readers are insurance professionals with extensive experience in traditional insurance, they may not have exposure to cyber insurance. Therefore, insurance professionals typically have questions as to why traditional insurance does not provide coverage for cyber incidents. This article first addresses the development of cyber insurance as it became clear that traditional insurance policies may not provide coverage for cyber incidents.

The Current State of the Case Law

The article also provides a summary of how courts have analyzed cyber insurance coverage. This is a manageable task at this point since many courts have not had the opportunity to analyze cyber insurance coverage issues. The article addresses one of the few cyber insurance cases that has ended up in front of a court, Columbia Cas. Co. v. Cottage Health Sys.

Ways to Limit Confusion as Cyber Insurance Develops.

After admitting there is some uncertainty in the cyber insurance marketplace, the article provides suggestions to insurers and insureds to gain a better understanding of the products.