∞ Sony insurer doesn’t want to pay for data breach

Ben Berkowitz, Reuters:

“One of Sony Corp’s insurers has asked a court to declare that it does not have to pay to defend the media and electronics conglomerate from mounting legal claims related to a massive data breach earlier this year.”

The crux of Zurich American’s argument is that their policy was for general liability against possible property damage, and was never intended to insure against the type of digital attack Sony suffered when its PlayStation Network servers were hacked into this past April.

Sony said that the hacking attack has cost it $178 million, and in May said it was expecting insurers to help pay.

Anonymous

$178Mn is nothing to a company like Sony. It’s a rounding error. If anything the insurer needs to be thinking about the preparedness of its client. Sony had nothing to offer in response to these attacks and let a massive part on their online business suffer an unprecedented outage. You have to ask, didn’t they have a recovery plan? Suffering a penetration is one thing. Not being able to recover for weeks is something else.