However, the trustees and committee members may find that the vendors are inadequately covered or that a breach can be traced to actions by the plan. Situations such as this point to the need for the plan to have its own cyber liability insurance.

An article by Diane McNally, Senior Vice President and Segal Select Insurance Practice Leader, that appeared the National Conference on Public Employee Retirement Systems e-newsletter looks at the increasing need for separate coverage and the features found in well-designed policies.