As I have noted in prior post on this site (most recently here), the prospect of out-sized liabilities under the Illinois Biometric Information Privacy Act (BIPA) is a significant concern for companies and for their insurers alike. As discussed in the following guest post from Joel Bruckman, Partner, Freeborn & Peters, LLP, and Sarah Abrams, Head of Professional Liability Claims, Bowhead Specialty Underwriters, recent BIPA-related developments further underscore these concerns and raise important insurance issues as well. I would like to thank Joel and Sarah for allowing me to publish their article as a guest post on this site. I welcome guest post submissions from responsible authors on topics of interest to this blog’s readers. Please contact me directly if you would like to submit a guest post. Here is Joel and Sarah’s article.
Continue Reading Guest Post: Runaway BIPA Recoveries Impact Company Liability and Cyber Insurance
The business pages have been full in recent months with tales of cyber extortion and ransomware. In an effort to try to explain these developments, some commentators have suggested that the availability of ransomware coverage under cyber insurance is a cause of the problem. In the following guest post, Paul Ferrillo takes on the question of the role of cyber insurance availability in the proliferation of ransomware incidents. Paul is a partner in the securities litigation group at the Seyfarth Shaw law firm. I would like to thank Paul for allowing me to publish his article as a guest post on this site. I welcome guest post submissions from responsible authors on topics of interest to this blog’s readers. Please contact me directly if you would like to submit a guest post. Here is Paul’s article.
Many of you probably saw 
One of the more challenging issues businesses must confront as wrongdoers have turned Internet tools into criminal devices has been the rising threat of payment instruction fraud, or, as it is sometimes called, social engineering fraud. Along with these crimes have come vexing questions of insurance coverage for the ensuing losses. Courts have struggled to determine whether or not payment instruction fraud losses are covered under Crime policies. A recent case in the Southern District of New York raises the question whether a payment instruction fraud loss is covered not under a Crime policy but rather under insurance policy containing both E&O and Cyber coverages.
