Why Would a Church Buy a Cyber Policy?

One reason that a church would purchase a cyber policy is to protect themselves from the legal liability created by their online activities.  This could include their release of sensitive information of others through their website, social media or email system.  This type of exposure to loss can be created when you publish personal information about others without their permission, when you use copyrighted material without the proper license or when you collect personal financial data through electronic means.  For instance, if a church collects bank account information from its members for online giving, a general liability policy would not respond to a data breach of this information by a hacker.

However, a cyber policy can also be written to include property coverage for the church since many forms of theft involving money are excluded by the typical commercial property policy.  For example, if a church administrator responds to a fake email from the church’s bank with a password, any resulting illegal withdrawal to the church’s account would not be covered by most commercial property forms.