Cyber Insurance Recovery

The Cyber Insurance Recovery Group is chaired by Joshua Gold, a shareholder in Anderson Kill's New York office, who has helped to recover more than $1.5 billion for corporate policyholders in insurance coverage disputes, and co-chaired by Daniel J. Healy, a partner in the firm's Washington, D.C. office.  Arthur R. Armstrong, a shareholder in the firm's Philadelphia office, assists the group as deputy co-chair.

Messrs. Gold, Healy and Armstrong have represented clients in diverse industries pursuing insurance claims for cyber-related losses and have published widely in insurance and legal journals on cyber insurance coverage issues.

• Representation in a multi-million dollar recovery in a landmark U.S. Court of Appeals decision on behalf of a retailer that suffered a data breach as a result of a computer hack.  Rejecting the insurance company's "direct loss" defense, commonly cited in such cases, the court instead applied a proximate cause standard -- a valuable precedent for businesses purchasing fidelity, crime and financial institution bond coverage.
• Represented a large engineering firm who suffered a cyber-attack on its electronic data storage facility which overrode a backup system and led to file system corruption. Client data was stolen and internal billing information was destroyed.  We compelled the insurance company to pay under an all-risk property policy the client’s claims for replacement of the servers in the storage facility, client credit monitoring and the client’s business interruption loss.
• Represented an entertainment company client who was sued in class litigation by users of its on-line service for trespass and invasion of privacy arising from its provision of information concerning user on-line viewing patterns to third parties.  Insurance companies under consecutive policies denied coverage on a variety of grounds.  We were able to trigger both policies and recover the costs of defending and settling the lawsuit against the client.
• Represented a national retailer that was sued pursuant to a California statute that made it illegal to ask a customer who was paying by credit card for personal information.
• Successfully obtained coverage under the client's cyber insurance policy.
• Counseling a hotel company that had a major data breach on insurance coverage.