Decades ago, insurance companies added a total pollution exclusion to commercial general liability policies in response to rulings allowing coverage for the costs of pollution cleanup. In the years after insurance companies first included this exclusion, insurers used the broad wording of the pollution exclusion to deny coverage for an increasingly larger amount of alleged contaminants. Today, commercial policyholders may face the same risks with the cyber liability exclusion. Intended to exclude coverage for data-breach-related claims under CGL policies, the broad wording of the cyber liability exclusion creates the potential for similar expansion and resulting coverage gaps in today’s interconnected world. Join us for a detailed discussion of the potential risks and coverage gaps facing policyholders, as well as strategies for preserving coverage and eliminating potential gaps.
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