Do you actually need a separate computer policy?

24/06/11 General

Well the simple answer is “yes”

A Computer Insurance policy provides wider cover including Reinstatement of Data following a virus infection. A claims example is:-

A charity had its systems infected by the ‘Conficker’ virus, a particularly nasty virus that targets Microsoft operating systems transmitting via networks, USB devices and web transfer. The virus has claimed many victims: since first detection in 2008, it hascaused serious disruption to the systems for the UK, French and German armed forces and the House of Commons, also causing an estimated £1.5m disruption to a City Council’s IT system.

Once copied onto the network, Conficker replicates latently for a period of time prior to activating with the effect of effectively stopping the host network and causing associated problems. It doesn’t cause the loss of data. In this instance it caused the policyholder’s network resources to grind to a halt, hampering their order-processing and picking lists which had a major effect on their business.

Contractors worked for over 450 hours all within one week to systematically remove the virus. They then had to manually re-key some data and test the entire network of 80 workstations to enable operations to be restored. Not only was this a costly exercise to isolate and remove the virus but also resulted in a significant back log of work. The claim and resultant increased costs of working were met in full by our Computer policy at a cost of £60,000, none of which would be covered by a property policy.

This is a great example of how our computer cover can keep businesses moving.

Insurance Computers on an office or combined policy only provides cover for the standard perils and does not extend to include this cover.

For more information please email ourselves at mail@lwood.co.uk or contact us on 01274 515747.