Cyber Coverage Sublimit

Lawyers are being targeted more frequently and by more sophisticated cyber criminals each year.

Cyber Coverage is being included in the 2027 Policy to help lawyers better protect their practices and get timely support if they experience a covered cyber incident, such as a cyber attack or social engineering fraud.

The coverage is intended to make it easier for insureds to access specialized help when they need it most and to reduce the financial and practical disruption that can follow a covered cyber event. By building this protection into the primary policy, LAWPRO is helping lawyers better protect their practices, their clients, and the profession as cyber risks continue to grow.

If a covered incident does occur, LAWPRO’s Cyber Coverage provides access to specialized assistance and financial protection, subject to the terms, conditions, exclusions, deductible, and sublimits of Endorsement No. 14.

The 2027 Policy in Endorsement No. 14 includes three main types of Cyber Coverage:

First-party cyber incident coverage

Covers certain expenses incurred in responding to a covered cyber incident affecting your practice. This may include support for breach response services, forensic investigation, and certain losses arising from ransomware or other cyber extortion events.

Third-party cyber liability coverage

Responds to covered claims by clients or other third parties arising from a covered security or privacy breach connected to your professional services.

Social engineering coverage

Provides coverage for the direct loss of funds resulting from covered acts of fraud or deception, such as where someone impersonates another person or organization and causes you to transfer funds to a bad actor.

Each coverage is subject to the terms, conditions, exclusions, deductible, and sublimits in Endorsement No. 14 (LAWPRO’s “Cyber Coverage”).

Beginning with the 2027 Policy, you will have access to dedicated Cyber Coverage for covered cyber attacks and social engineering fraud, subject to a firm-wide aggregate limit and a dedicated $5,000 deductible.

• $250,000 per policy period, firm-wide aggregate limit, for first-party and third-party cyber liability, with no more than $100,000 available for first-party Cyber Incident coverage.
• $250,000 per policy period, firm-wide aggregate limit, for covered social engineering claims; increasing to $1,000,000 where the required risk controls have been satisfied.
• Where the Social Engineering risk controls have been satisfied, the maximum available under LAWPRO’s Cyber Coverage, across first-party cyber, third-party cyber liability, and social engineering, is $1,000,000 in the aggregate per policy period firm-wide.

To support insureds through the claims process, LAWPRO has partnered with a third-party adjusting firm with dedicated cyber expertise to provide 24-hour, seven-day-a-week support to you, our insureds. This will help provide specialized, end-to-end claims management, while LAWPRO retains full oversight, coverage determination authority, and governance responsibility for all cyber claims.

A $5,000 deductible applies to each covered Endorsement No. 14 claim or loss.

The LAWPRO Cyber Coverage limits are shared by you and all members of your law firm, together. They are not separate limits available to each lawyer. Amounts paid for any covered cyber claims during the policy period reduce the applicable amount remaining available to each of you.

The standard Social Engineering limit is $250,000. The limit increases to $1 million if you satisfy the risk controls required by Endorsement No. 14. These include:

• Sharing appropriate written funds-transfer instructions with the other party.For your convenience, this sample wording(Word and PDF versions)can be used or adapted to your needs.
• Advising that revised instructions must be independently verified (see sample language included in the above template).
• Independently verify changes using previously confirmed contact information or confirm in person, with evidence of the verification retained. If your attempt at verification uses contact information that is only contained in the change request, this will not satisfy the requirement.

A $5,000 deductible applies to each claim or loss covered under Endorsement No. 14, regardless of the deductible shown on your Declarations page. The deductible applies to investigation, defence, repair, indemnity payments, and reimbursable first-party expenses.

Claims must be reported immediately upon discovering a Cyber Incident, Extortion Threat, or loss related to a Social Engineering Event via phone to the 24/7 support line at 1-888-970-2285.

To protect yourself, contact LAWPRO before retaining service providers or incurring breach-response expenses. Coverage for Breach Expenses is subject to the LAWPRO’s prior written consent and all other terms and conditions of Endorsement No. 14.

No. Coverage depends on the circumstances and the terms, conditions, and exclusions of the Policy. A Privacy Breach Event is defined as the unauthorized acquisition, access, disclosure, or loss of confidential information held by the insured or the insured’s Law Firm. Insureds who become aware of a possible cyber or privacy incident should contact LAWPRO promptly so that coverage and next steps can be assessed.

No application is required. Coverage under Endorsement No. 14 is automatically provided to lawyers as part of their LAWPRO policy.

No action is needed to activate coverage. However, please note that it is a requirement to provide timely notice and to cooperate with forensic investigators, breach coaches, and other service providers appointed by or on behalf of LAWPRO and assist with efforts to recover funds or other losses.

No. Endorsement No. 14 is included for all lawyers insured by LAWPRO and there is no opt-out option, so there is no need to take any additional steps to receive this protection.

There is no additional premium for Endorsement No. 14, it is included in the base LAWPRO Policy.

Endorsement No. 14 can found online at lawpro.ca.

No. Endorsement No. 14 does not include an option to purchase higher limits through LAWPRO. If your firm would like higher limits or broader cyber protection, you may wish to speak with an experienced broker about a dedicated cyber insurance solution that best meet your firm’s needs.

Not necessarily. Endorsement No. 14 provides defined Cyber Coverage subject to specific limits, sublimits, terms, conditions, and exclusions. Firms that require higher limits or broader cyber protection should consider whether dedicated cyber insurance product is appropriate for their circumstances.