What is Cyber Insurance against cyber attacks?

Cyber insurance is a specialized insurance policy designed to protect companies against cyber risks, providing financial coverage and operational support in the event of a cyber security incident. This can include compensation for losses caused by ransomware attacks, data theft, digital fraud, business interruption caused by security breaches, IT system recovery costs and associated legal expenses. In addition, many cyber policies include incident response services, monitoring and consulting to prevent future attacks.

What risks does cyber insurance cover?

Cyber insurance offers protection against multiple digital risks, including:

Type of risk	What does it cover?	How does cyber insurance help?
Data theft	Attackers access and steal sensitive information	Cover notification and investigation costs
Ransomware	Hackers block access to data and demand ransom	Cover data recovery and ransom payment costs
Financial losses caused by phishing	Employees are tricked into disclosing confidential data	Compensates in case of online fraud affecting the company
GDPR violation	Customer data is exposed publicly	Provides financial support for compliance, covering legal sanctions and restoring reputation through PR methods
Legal costs and damages for affected customers	Lawsuits filed by customers affected by cyber attacks	Provides support for legal defense

Why is a policy against cyber risks important?

In recent years, several companies have been victims of cyberattacks with major financial impact. SMEs, large corporations, but also freelancers who manage sensitive data are among the most exposed.

The costs associated with a cyberattack can be significant. In addition to direct financial losses, businesses can suffer reputational damage that affects the trust of customers and partners.

Romania has recently been the target of two major cyberattacks. On February 27, 2025, a hacker associated with the HellCat ransomware group stole and published on a forum 380,000 email addresses belonging to Orange Romania customers, after the company did not respond to the blackmail.

Previously, in February 2024, 18 hospitals in the country suffered ransomware attacks, which led to the blocking of IT systems and the serious disruption of medical services, including the emergency rooms.
According to cybersecurity experts, the average cost of a cyberattack is around $4 million globally.

In light of these increased risks, the EU has implemented directives such as NIS 1, NIS 2 and DORA to oblige companies to strengthen their cybersecurity.

The European Network and Information Security Directive (NIS 1) was the first European legislative framework dedicated to cybersecurity, adopted in 2016 to ensure a high level of security of networks and information systems in the European Union member states. It imposed essential obligations on operators of essential services (such as energy, transport and health providers) and digital service providers, requiring them to implement strict security measures and report relevant cyber incidents.

However, the evolution of cyber threats and new risks at a global level have made it necessary to update the legislative framework, which led to the adoption of the NIS 2 Directive in Romania and the other member states.
The NIS 2 Directive, adopted in 2022, expands and strengthens the requirements imposed by NIS 1, addressing a larger number of sectors and companies, imposing harsher sanctions for non-compliance and requiring the implementation of more rigorous security measures. It also aims to increase cooperation between Member States in the field of cybersecurity, reducing vulnerabilities to cyber attacks.

In parallel, the DORA Directive (Digital Operational Resilience Act), adopted in 2022, is focused on the financial sector and requires institutions such as banks, insurers and financial service providers to ensure their digital operational resilience against cyber threats, through better IT risk management and regular security testing.

How does cyber insurance work?

The process of obtaining and using a cyber policy includes the following steps:

Risk assessment	The insurer analyzes the client’s IT infrastructure and its exposure to cyber risks. This step is necessary to identify vulnerabilities and potential cyber threats.
Choosing the right policy	You choose the level of cyber risk coverage and the services included. Work with a specialized broker, such as Leader Team, who can offer customized solutions based on the specific needs of the business. Establish coverage limits, premiums, and specific policy details, ensuring they reflect the identified risks and the company’s needs.
A cyberattack occurs	The client company is targeted by ransomware, phishing, or other type of attack.
Submitting a claim	In the event of a cyberattack, follow these steps to benefit from the coverage offered by the policy: Notify the insurer: Immediately inform us of the cyber incident, providing relevant details and the necessary documentation. Damage assessment: We will work with experts to determine the extent of the damage and the costs associated with remediation situation.
Compensation	After assessment, Leader Team will cover eligible costs under the terms of the policy, including data recovery expenses, system restoration and any financial losses caused by business interruption. The insurer analyzes the impact of the cyber attack and covers the costs according to the contractual terms of the cyber insurance policy.

As a cyber insurance holder, you should be aware of the following aspects:

• Policy coverage. Make sure that the cyber insurance is of the attack or cyber crime type and includes all risks relevant to the company’s activity, such as ransomware attacks, data theft and GDPR fines.
• Security obligations. Maintain adequate security measures, as negligence in protecting systems can lead to the denial of compensation.
• Constant update: Periodically review the policy to ensure that it reflects the evolution of cyber risks and changes within the company.

Real-world examples of use of Cyber insurance includes recovering losses from ransomware attacks and covering fines for data breaches.

What does cyber insurance NOT cover?

While it is an effective protection solution, cyber insurance does not cover all risks. Not all incidents are eligible for compensation. Here are the main exclusions of a cyber policy:

🚫 Exclusion	❗ Explanation
Company negligence	If the company does not implement essential security measures (e.g. lack of firewalls, software updates or multi-factor authentication), the insurer may refuse coverage.
Attacks carried out by employees	If an employee intentionally causes a security breach or steals data, the policy does not cover losses.
Problems in a supplier’s network	If the attack affects a third-party infrastructure (e.g. a cloud provider or a payment processor), the liability lies with them, and insurance may not cover the damages if these risks are not covered by the cyber insurance contract.

How can you protect yourself from these risks?

📌 Comply with security regulations – Implement clear policies and train employees to reduce risks.

📌 Monitor internal activity – Use security solutions to detect suspicious actions by employees.

📌 Check contractual terms – Make sure your digital service providers have adequate protection measures.

If you want a solution tailored to your needs, consult the Leader Team specialists in cyber insurance! You can also study our offer of professional IT insurance, as well as the range of professional liability insurance and contractual civil liability insurance regardless of whether you provide software development services, technical assistance or implementation of IT solutions.

Who needs cyber insurance?

If your business processes or stores data online, the risk of a cyber attack is real. An insurance policy can protect the company from financial losses, fines, and lawsuits.

High-risk areas of activity that can fully benefit from cyber-attack insurance:

🏢 Industry	⚠ Main Risks	🔍 Attack Examples
✅ Ecommerce	Theft of customer card data.	Skimming attacks on payment websites.
✅ IT and Software	Exploitation of vulnerabilities in code.	Hackers injecting backdoors into applications.
✅ Banks and Financial Institutions	Digital fraud and attacks on accounts.	Phishing and man-in-the-middle attacks.
✅ Medical Clinics and Pharmacies	Theft of patient data.	Ransomware blocking access to medical records.
✅ Law Firms and Accounting	Exposure of confidential information.	Data leaks through social engineering attacks.

🎯 How do you protect yourself?

🔹 Invest in IT security – Constantly update systems and implement multi-factor authentication.

🔹 Train employees – Avoid phishing attacks through regular training.

🔹 Insure yourself against risks – A cyber policy can cover financial damages and legal costs.

💡 Don’t wait to be a victim of an attack! Insure your business with Leader Team and protect your customer data!

How do you choose the best cyber insurance?

When it comes to protecting your business against cyber attacks, choosing the right policy is essential. Here’s what you should consider:

Factor	What to check	Why it’s important
🔹 Maximum amount covered	Check the maximum amount of compensation.	Make sure you have enough coverage to deal with large losses. Some policies offer up to millions of euros.
🔹 What risks are included	Look for protection for ransomware attacks, phishing, online fraud, etc.	Cyber risks are varied. Make sure your policy covers them all.
🔹 Policy exclusions	Read carefully what is NOT included in the coverage.	Make sure there are no legal traps that could expose you to uncovered costs.
🔹 Insurance premium	Compare offers and check what factors influence the price.	Premiums may vary depending on your field of activity and the security measures implemented.
🔹 Insurance company	Choose an insurer with a reputation and experience in the field.	Working with a trusted provider guarantees you complete coverage and proper management of damages.

Why choose Leader Team for cyber insurance?

🔹 Free and personalized consulting – Our specialists will offer you solutions tailored to your needs, with access to the best offers on the national and international market.

🔹Direct negotiation with insurers – Instead of wasting time looking for offers, we represent you in discussions with insurers, to obtain the most advantageous conditions.

🔹 Cost reduction – You can save up to 60% by combining multiple risks in a single policy.

🔹 Assistance in case of damage – You benefit from direct support from our internal claims department, regardless of the insurer chosen.

🔹 Simplicity and speed – We contact you within 24 hours, offering you a quick quote and clear advice to understand all the details of the policy.

💡 Protect your business efficiently and without hassle with the help of Leader Team!

Cyber insurance: a simple solution to prevent complicated problems

Cyber insurance protects your business in a constantly changing digital universe, which faces and confronts you with new challenges every day. From protection against security breaches to effective crisis management solutions in the event of a cyber attack, our vast expertise in the field of cybersecurity allows us to offer you personalized insurance, identifying the vulnerabilities specific to your business and proposing protection strategies depending on the level of risk to which you are exposed. It is never too early for a professional IT insurance: statistics show that 97% of attacks can be avoided through basic security protocols. Along with professional liability insurance and contractual civil liability insurance, whether you provide software development services, technical assistance or IT solution implementation, with this package you will enjoy complete protection being always ready to deal with all unpredictable situations that may arise.

Cyber insurance that also covers you against possible GDPR fines

Cyber attack insurance represents a valuable investment in a preventive and reactive approach against cyber threats, thus helping you to focus on growing your business, not fixing problems, while also maintaining customer trust at the highest level higher level. From GDPR fines and claims consulting, to restoring damaged reputation and covering potential financial losses derived from temporary business interruptions, we ensure you have full coverage, national and international, for the devastating risks of a cyber attack. Protect your digital assets and reputation now by partnering with us!

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