Cyber Insurance vs. Crime Insurance: What’s the Difference?

Cyber insurance pays for security and privacy incidents: breach response, data recovery, lost income from an attack and lawsuits that follow. Crime insurance pays for money or property you lose to theft or fraud, such as employee theft or funds-transfer fraud.

The two overlap on fake-invoice and impersonation scams. Chubb, for example, sells computer fraud, funds-transfer fraud and social-engineering fraud as cyber-crime endorsements on its cyber product, so whether you're covered can depend on an add-on rather than the base policy.

Run each scenario against both quotes: a hacked account, a fraudulent vendor wire, an employee stealing funds and a data breach may each land in a different policy. Compare how each defines money, computer fraud, employee and voluntary transfer, plus the limits, deductibles and proof you'd need. Don't assume the two policies stack; ask your broker how their other-insurance clauses decide which pays first.