What is the impact of mergers and acquisitions on existing cyber insurance policies?

Mergers or acquisitions can impact existing cyber insurance coverage as the newly merged entity may have different risk profiles, security practices, and coverage needs. In such cases, adjustments to cyber insurance policies may be necessary to align with the combined organization’s new risk profile and to ensure adequate coverage for potential cyber risks. This may involve conducting a comprehensive review of the existing cyber insurance policies, negotiating with insurers to update or amend coverage terms, and ensuring that the new entity’s cyber insurance coverage adequately addresses any gaps or liabilities that may arise from the merger or acquisition. It is important to involve risk management, legal, and insurance professionals in the process to ensure a smooth transition and effective cyber risk management strategy.