How To Get $10M in Excess Cyber Liability Insurance Coverage (Cyber Liability 101)

How To Get $10M in Excess Cyber Liability Insurance Coverage (Cyber Liability 101)

Many businesses already carry cyber insurance policies with limits of $1 million, $5 million, or even $10 million. But in today’s high-stakes digital environment, you may find yourself needing even more coverage.

If a new client contract or vendor relationship requires higher limits—or if your risk exposure is growing—it may be time to explore excess cyber liability insurance.

So, what is it? Why might you need it? And how do you get it?

Let’s break it down.

Why Would a Business Need an Extra $10 Million in Cyber Coverage?

Excess cyber liability insurance provides additional protection above and beyond your existing cyber insurance policy. In most cases, companies consider adding an extra $10 million in limits due to:

• Contractual obligations with large clients, partners, or vendors
• Regulatory or compliance requirements, especially in finance, healthcare, and tech
• Increased exposure from storing or managing large amounts of sensitive data
• Growing concerns over extreme cyber events like ransomware, system outages, or data breaches

A single incident can lead to millions in damages—from legal fees and data restoration to business interruption and third-party liability. If your current policy’s limits are exhausted, that’s when excess coverage steps in.

What Does Excess Cyber Liability Insurance Cover?

While it doesn’t add new types of coverage, an excess cyber policy extends the limits of your underlying policy. It continues to pay for:

• Data breach response and notification costs
• Legal defense and settlements
• Ransomware payments and recovery expenses
• Business interruption and loss of income
• Regulatory fines (where insurable)

Think of it as an extra financial safety net that kicks in when your primary policy has been maxed out.

How Do You Get $10 Million in Excess Cyber Insurance?

Here’s how the process typically works:

1. Start with your current insurance agent. If you already have cyber insurance, your independent agent is the best first step.
2. Your agent will involve a wholesale or specialty broker. These brokers have access to markets that can write high-limit cyber liability policies.
3. Underwriting review. The insurer will evaluate your current security posture, risk management, and financials.
4. Layered approach. Your excess coverage may come from one or multiple insurers who share the risk, which helps keep costs manageable.

Why Not Just Get One Big Cyber Policy?

Most insurance carriers don’t want to take on $10M+ in cyber liability alone due to the unpredictability and severity of large-scale cyber events. That’s why many high-limit cyber programs use a layered approach, where multiple insurers cover different portions of the policy. This risk distribution makes it easier to secure coverage and keep premiums competitive.

Final Thoughts

If your business is growing, handling more sensitive data, or entering high-stakes contracts, now is the time to evaluate whether your current cyber liability limits are enough. Excess cyber insurance is no longer just for Fortune 500 companies—many mid-sized and even small businesses are now being required to carry high limits to protect themselves and their partners.

📞 Need help getting $10M in excess cyber coverage?

We work with specialty brokers and high-limit markets to help businesses like yours secure the coverage they need.

Contact us today to learn more.