Berkshire Hathaway Specialty Insurance enters cyber-insurance arena

Warren Buffet is not exactly launching the Geico gecko into the cyber-insurance space, but his Berkshire Hathaway Specialty Insurance division today did unveil two new polices targeted at this area.

The Professional First Network Security & Privacy and the Professional First Professional Liability and Network Security & Privacy policies will offer coverage for third-party exposures resulting from data security and privacy breaches, breach expense and extortion threats, media liability and business interruption.

“Both policies include multi-faceted network security and privacy liability insurance and risk management resources, which can be tailored for professional services firms of all types, from technology enterprises, to financial institutions, to law firms,” the company said in a release.

The cyber-insurance industry has grown dramatically with Jeremiah Grossman, founder of WhiteHat Security, a Santa Clara, Calif.-based web application security company, telling SCMagazine.com that the industry has been growing at more than 60 percent per year for the last three years.