Gallagher delivers cyber insurance solution as law firms look to combat risk

Broker Gallagher has agreed a new partnership with the Law Society to offer members an exclusive, industry-specific cyber insurance product as figures show 65% of law firms have suffered a cyber-attack.

While the product is available to firms of all sizes, it primarily targets sole practitioners and firms with up to four partners where there is a significant lack of cyber cover. Legal practitioners are often at high risk of cyber-attacks, due to the extensive data they hold on behalf of their clients.

The extent of the problem is evidenced by the Law Society’s latest member research which found 65% of firms admitting to having been victim of a cyber-attack. Cybercrime is a growing risk as it facilitates an easier method of theft. Today all that is needed to steal money, data and identity is a device and a web connection, and 53% of all UK fraud is now online.

Lubna Shuja, former president of the Law Society, said: “Law firms are experiencing a greater level of risk in their insurance, which is highest among larger firms.”

Despite this, there appears to be a lack of understanding about the risk as more than 70% of firms are currently not purchasing cover, leaving them exposed to significant financial, operational and reputational costs.

The Law society is the independent professional body for solicitors in England and Wales. It represents all practicing solicitors and is dedicated to promoting excellence in the profession, upholding the rule of law, and providing extensive support services. Gallagher is one of the world’s largest insurance brokering firms, working with businesses of all sizes, providing insurance and risk management services.

Executive Director of Gallagher specialty said: “I have worked closely with the legal profession for many years providing specialist insurance to the sector and I have become increasingly aware of the need for accessible cyber cover. Take up with the sector remains incredibly low, despite the threats facing legal firms continuing to grow.”

Waterton continued: “This much needed cover will provide a cost-effective solution,” particularly referencing smaller firms who are at high risk of an attack. It has also been developed specifically for the legal profession, therefore ensuring it meets their individual needs.

Fiona O’Mahony, Head of Sales and Partnerships at the Law Society, stated: “Our member’s exposure to cyber-risks is a concern and this partnership with Gallagher is a significant step forward in helping them get access to cyber insurance designed to cover the specific problems facing the legal profession.”

“Solicitors are a prime target for cyber criminals because they hold extensive personal and company data.”

“Cyber insurance has become an inescapable necessity for businesses operating responsibility in a world where most fraud is now carried out online.”

The extent of the problem is evidenced by the Law Society’s latest member research which found 65% of firms admitting to having been victim of a cyber-attack