Susan Kelly quotes me in her article, “Cloudy Coverage? Cyber policies may fall short for cloud computing” in Treasury & Risk.

In her article, Cloudy Coverage? Cyber policies may fall short for cloud computing, author  writes about insurance coverage for cloud computing risks for Treasury & Risk.  She also discusses whether insurance and cyber insurance policies provide coverage for cloud computing risks.

The article opens:

The ability to outsource a company’s technology infrastructure to a third party via cloud computing may seem like a dream come true—until the cloud arrangement breaks down. In April 2011, many Web sites that used Amazon’s cloud services business for hosting went down when Amazon encountered technical difficulties.

The article then discusses insurance coverage for cloud computing risks.  Ms. Kelly quotes me in the article:

One tricky question is the extent to which companies’ insurance covers losses caused by cloud computing problems. Scott Godes, [formerly] counsel at the law firm of Dickstein Shapiro, calls cyber coverage “the Wild West of insurance.”

“It’s a new marketplace . . . .”  . . . Godes notes that it’s rare to see the term “cloud computing” in a cyber policy and advises that companies look carefully at the wording of their policies. “It’s important to pay attention to things like what is the scope of the term ‘network,’” he says. “If that term is written in a way where it could encompass the outsourcing of hosting or support, you have a strong argument that cloud services are covered.”

Want to read the other opinions and thoughts offered on the subject?  Then click on over to Cloudy Coverage? Cyber policies may fall short for cloud computing to read the entire article.


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