Business insurance in Cyprus in 2024. Affordable business insurance in Cyprus.
Business Insurance in Cyprus
Also known as commercial insurance, business insurance is necessary for your company as it can protect your business from unexpected circumstances and financial losses.
In this comprehensive guide to business insurance in Cyprus, we will help you understand the various types of business insurance available on the market, and we will explain their coverages in detail.
We will also share clever tips on reducing the cost of your business insurance by comparing the most affordable business insurance contracts in Cyprus.
Table of contents
- What is business insurance?
- Business insurance coverages
- How much is business insurance in Cyprus?
- Affordable business insurance
- Small business insurance in Cyprus
- Online business insurance Cyprus
- Business insurance quotes in Cyprus
What is business insurance?
Business insurance, also known as commercial insurance, is designed to protect business owners from unexpected losses.
Business insurance protects you from covered risks such as accidents, theft, property damage, professional errors, and cyber attacks. It can financially help with lawsuits when claims arise.
It can also help cover injured employees’ lost wages and provide access to programs that can help them return to work.
A traditional business insurance contract in Cyprus, aka business owners policy (BOP), is a multi-coverage insurance policy comprising a combination of the following coverages.
- Public liability
- Business property insurance
- Employers liability insurance.
Nevertheless, business insurance is a generic term encompassing the following coverages.
- Product liability
- Commercial car insurance
- Business interruption insurance
- Professional indemnity insurance
- Directors and officers insurance
- Cyber insurance
- Group health insurance.
Below, we will elaborate on the different coverages of commercial insurance in Cyprus to help you understand what type of coverage your business requires.
Business insurance coverages
The following are the business insurance coverages available in Cyprus.
Business property insurance in Cyprus
This insurance is also called commercial property insurance or business hazard insurance.
Commercial property insurance helps to protect your rented or owned building. Additionally, it protects the tools and equipment you use to operate your business.
Commercial property insurance covers losses from many sources, such as:
Commercial building insurance helps to protect your physical business assets, such as:
- Personal property.
How can I get correctly insured?
To ensure you get the correct amount of coverage for your business, you should be prepared to provide the correct information to your insurers.
We suggest you take your time compiling a list of all the expensive items in your office, such as computers, laptops, servers, printers, and expensive decorations.
Note: update this list annually and send the updated version to your insurance company.
If you own your company’s building, you will need to provide us with the reconstruction value of your property.
The reconstruction value of your property is the cost to replace or rebuild it to original or like standards considering the current material and labour costs within a certain geographical area.
Our engineers can help you to calculate the reconstruction value of your property. Send us an e-mail: [email protected].
Business property insurance Cyprus
To read more about business property insurance in Cyprus, see here.
Commercial car insurance in Cyprus
This type of commercial insurance can help to cover the cost of accidents when using commercial vehicles, such as company-owned cars.
Commercial car insurance can help pay for medical expenses and property damage relating to car accidents. It can also cover any employees that use company cars.
Commercial auto insurance can be invaluable if you or your business rely on company vehicles.
Commercial car insurance covers many accidents and circumstances.
When it comes to private vehicles, there are three main types of coverage:
- Third-party, fire and theft
- Full or Comprehensive car insurance.
Comprehensive commercial car insurance includes the following coverages:
- Property Damage Liability Coverage. This pays for damage you or your employees cause to someone else’s property.
- Bodily Injury Liability Coverage. This coverage helps to pay for another party’s injuries and resulting medical expenses if your business causes a car accident.
- Collision Coverage. This coverage helps to pay for repairs or replacements if you are in an accident and need to have your car fixed or get a new one altogether.
- Personal Injury Protection (PIP). This coverage can help cover bodily injury, medical expenses, and funeral costs, regardless of who is at fault for the accident.
- Uninsured/Underinsured Motorist Coverage. This coverage helps pay for damages and medical expenses if the other driver has inadequate liability coverage or is uninsured.
Commercial car insurance typically excludes the following.
- Damaged contents that were inside your business vehicle at the time of the accident.
- Car accidents that occur when an employee is driving their vehicle for personal purposes.
- Any medical expenses that are unrelated to an accident involving your commercial vehicle.
- Repairs to a rental vehicle that you are using while your commercial vehicle is getting fixed after an accident.
Commercial car insurance covers many types of vehicles, such as:
- Utility trucks.
Commercial car insurance Cyprus
To learn more about commercial car insurance in Cyprus, see here.
Employers Liability Insurance in Cyprus
Business owners need employers liability insurance in Cyprus to protect them from legal concerns that result from employee work-related injury or illness claims.
It’s important to note that employers liability insurance isn’t the same as workers compensation insurance.
Workers compensation mainly covers employee’s medical expenses, while employers liability insurance helps pay for legal costs.
How does employers liability insurance work?
This business insurance can help pay for employee work-related illness or injury expenses and legal fees if you are sued.
Employer’s liability coverage ensures you are financially protected from employee claims.
This type of insurance can be sold separately or as a part of business insurance.
Business insurance includes business interruption; property; general public; and product liability insurance.
What does employers liability insurance cover in Cyprus?
This type of insurance covers an employer’s liability for errors or negligent acts to compensate the employees (or their families) concerning personal injury or death caused by an accident at work or occupational disease resulting from and during their employment.
Employers liability insurance is obligatory in Cyprus and regulated by Law 174 /1989.
The minimum limits of liability requirement are:
- For each accident or disease concerning each employee, the minimum coverage limit amounts to €160,000.
- For each incident or series of incidents arising from the same cause, the minimum coverage limit amounts to €3,415,000.
- For each insurance period, the minimum coverage limit amounts to €5,125,000.
In Cyprus, it is a criminal offence for employers to not have employers liability insurance.
In case of conviction, employers who fail to carry employers liability insurance are liable to imprisonment for up to one year, a fine of up to €5,000, or both sentences.
All employees must display the Certificate of Employers Liability insurance in a prominent place in their Head office or headquarters, or they will face a penalty charge of €3,000.
The Cyprus Institute of Legal Information (CyLII) regulates Employers Liability Insurance and presents this information on their online portal here.
Employers liability insurance Cyprus
See our article to learn more about this insurance product and why you need it.
General Public Liability Insurance in Cyprus
In many cases companies in Cyprus are under contractual obligation to purchase a comprehensive business insurance when signing deals with large international companies. International companies usually request general public liability and professional indemnity insurance as standard.
Companies working in the technology sector may also be required to carry multimedia and cyber insurance.
What is general public liability insurance?
This insurance is sometimes called business liability insurance.
Overall, general public liability insurance is a business contract that protects the insured against claims made by the general public, including the company’s clients and visitors.
A general public liability policy will help pay for medical expenses and other fees resulting from injuries, death, and property damage involving your business.
General public liability insurance covers claims no matter where the accident occurred, whether inside or outside the company’s premises.
This type of insurance in the EU and the USA is usually part of an umbrella contract called a “business insurance contract” or “business owners contract”.
Most business insurance contracts include:
- Product liability insurance
- Employers liability insurance
- General public liability insurance
- Contents and premises insurance.
General public liability insurance coverages
The main portion of general public liability insurance comprises “premises liability insurance” or a simple “public liability insurance” coverage.
Premises public liability insurance only covers incidents inside your company’s premises (e.g., shops, points of sale, offices, or factories).
In Cyprus, premises liability insurance is sold as part of a “business owners contract” or as additional coverage on a standard “employers liability insurance” contract. This coverage is rarely sold on its own.
In Cyprus, you can extend your premises liability coverage (i.e., incidents that occur inside your premises) to general public liability coverage (i.e., incidents that occur inside and outside your premises).
Your company’s activities will be carefully assessed before you can get the coverage extension.
What does public liability insurance not cover?
Most standard public liability insurance does not cover the following circumstances:
- Employer’s injuries while working inside or outside your company premises. These claims are covered under employer liability insurance.
- Professional errors and negligence resulting from your company’s services. These kinds of claims are covered by professional indemnity insurance.
- Claims from your client related to cyber risk and a professional mistake arising from your company’s services. These types of claims are covered by cyber insurance.
Is public liability the same as general liability insurance?
Public liability insurance, or premises liability insurance, covers claims of incidents that occur within your company’s premises, while general public liability insurance also covers claims outside your company’s premises.
Some general public liability policies might include product liability insurance.
Examples of public liability claims
The following incidents commonly result in public liability claims.
- Defective product issues
- Falling and faulty objects
- Building and construction claims
- Falling, slipping, and tripping over.
General public liability insurance Cyprus
If you would like to read more about general public liability insurance, see our article here.
Business interruption insurance in Cyprus
Companies face financial risks without the right business insurance. At least, most business owners commonly need business interruption insurance as a standard.
This insurance is also known as business income insurance and contingent business interruption coverage.
Business interruption insurance is usually sold as part of commercial property insurance.
How does business interruption insurance work?
As its title suggests, business interruption insurance is intended to financially help business owners when their business services are interrupted.
It can help replace lost income if you temporarily close your business after a covered loss.
For example, you may have to close your business due to property damage and repair work.
Your business interruption insurance policy can help keep you and your business afloat while your premises are repaired.
Most business owner policies (BOP) are made up of business interruption insurance and coverages such as:
- General liability insurance
- Commercial property insurance
- Other protection, such as data breach insurance.
What does business interruption insurance cover?
Interruption insurance can help cover your company’s operating expenses if a covered loss forces you to close your business doors.
Business interruption insurance can cover the following types of expenses.
- Your employee wages.
- Taxes, regardless if you pay monthly or quarterly.
- Loan payments that are scheduled around that time.
- Lost revenue due to not making any income while your business is closed.
- Mortgage, rent, and lease payments to cover the cost of your company’s premises.
- Employee training costs for new equipment or machinery after any covered losses.
- Relocation or alternative accommodation costs if you need to move to a new or temporary location due to your premises being physically damaged.
Business interruption insurance Cyprus
In our property insurance article, read more about business interruption insurance in Cyprus and how it can protect your company.
Business health insurance in Cyprus
Also known as group health insurance, business health insurance is a type of health insurance plan offered to employees and their family members by an employer. It is an attractive option with many advantages compared to an individual health insurance policy.
What does business health insurance cover?
A business health insurance policy covers expenses relating to disease or accidental bodily injury incidents.
By default, business health insurance plans cover inpatient (hospitalisation) expenses and are commonly sold with the option to additionally cover outpatient expenses.
Two sources in Cyprus provide health insurance.
- Government GESY
- Private insurance companies.
How does business health insurance work in Cyprus?
When acquiring a group health insurance plan in Cyprus, you usually need to complete a questionnaire stating the following.
- The number of employees to be included in the plan and their dependents.
- Employee details such as gender, age, and medical history (past and pre-existing conditions).
- The company’s activities (and if the employees are involved in manual labour or high-risk activities).
Next, you must choose whether you want outpatient coverage in addition to inpatient coverage (inpatient coverage is part of all group business health insurance plans).
Additionally, you must declare how much time your employees spend in Cyprus and whether they want to receive medical treatment outside Cyprus, whether inpatient or outpatient.
Business health insurance coverage
As noted, group health insurance plans cover the expenses relating to incidents of medical treatment, disease, and accidents.
Some of these diseases and accidents might not be covered under certain conditions, as explained below.
Business health insurance coverages are divided into two categories:
- Inpatient expenses
- Outpatient expenses.
These expenses result from a hospitalisation requirement for at least one night in a private clinic (i.e. for an operation).
These expenses cover more than operating costs and include the costs for staying in the clinic, e.g. pre-op diagnostic exams (i.e. x-rays and blood exams) and post-op exams (i.e. x-rays and rehabilitation).
Inpatient expenses examples
- ICU costs
- Surgery costs
- Room rent charges
- Medical professional fees
- Operation theatre charges
- Costs of implanted devices
- Costs of medicines & drugs
- Room boarding & nursing charges.
Pre & post hospitalisation expenses
Pre-hospitalisation expenses include the medical costs that the insured will incur before admittance to a hospital.
Post-hospitalisation expenses include the medical costs that the insured incurs after hospital discharge.
Outpatient expenses involve the costs that do not require hospitalisation.
These costs include routine clinic visits, check-ups, prescriptions, physiotherapy, home care, hospice care, long-term outpatient care, and public health services.
Types of business health insurance in Cyprus
There are two classifications of business health insurance policies in Cyprus.
- Policies that cover inpatient expenses only (i.e. those that require hospitalisation) and policies that cover both inpatient and outpatient expenses.
- International business health insurance policies and local policies.
1st classification: inpatient and outpatient coverage
The main difference between these coverages is that inpatient expenses require hospitalisation while outpatient expenses do not.
In general, coverages for outpatient expenses, in addition to inpatient expenses, are usually 25% - 50% pricier than plans that cover only inpatient expenses.
Since employees living permanently in Cyprus should be registered in the GESY (General Health System of Cyprus) with access to free healthcare, we recommend purchasing premium business health insurance with international inpatient coverage but limited outpatient coverage.
In general, outpatient expenses are straightforward, there isn’t usually a long waiting time, and visiting a specialist doctor or clinic is usually unnecessary.
2nd classification: International group health insurance and local policies
International companies’ business health insurance plans generally cost more than local providers. Depending on what we compare, these plans can be 15% – 300% more expensive.
International business health insurance generally provides higher coverage limits for outpatient and inpatient treatment.
Another notable difference between local and international policies is that local policies do not cover international outpatient expenses. Local policies can only be used in Cyprus.
Some local companies advertise that they also cover international outpatient expenses, but to do that, they require the following:
- All of the documents are to be translated (if they are not already in English).
- The client must pay for the expenses independently, complete a claim form and send the original receipts to the insurance company. The insurance company will compensate them if they are accepted.
The above can often be a hassle for companies with employees, so we recommend those who often return to their country of origin and prefer their medical services to buy an international plan.
Another important thing to mention is that international health policies have a claim satisfaction ratio of 95%, while local ones have an 80% claim satisfaction ratio.
It’s known that international companies protect their reputation at all costs, while local providers try to save money where possible – this is especially apparent with ambiguous claims.
Business health insurance Cyprus
To see our full article about business health insurance in Cyprus, please see here.
Professional indemnity insurance in Cyprus
This type of insurance also goes by the name of errors and omissions insurance in the US (E&O) and protects businesses against that.
Professional indemnity insurance covers a company’s professional mistakes regarding its services.
Financial protection by way of professional indemnity insurance can prove to be priceless for your business if you face an allegation of professional business mistakes.
If your company is sued for professional mistakes, this insurance can protect you from paying out-of-pocket costs for legal fees and compensation costs.
How does professional indemnity insurance work?
Professional indemnity is designed to protect businesses against claims concerning the services they provide their customers or clients.
Even if you’re an expert in your field, there is always the possibility of a professional error.
If your customer or client believes that an error you made cost them or their business, they can file a lawsuit against you.
What does professional indemnity insurance cover?
Professional indemnity insurance can protect you against the following claims.
- Inaccurate advice: if you allegedly provided advice that caused damage to a client.
- Negligence: if negligence in your services resulted in damage or injury to a client.
- Misrepresentation: if you are accused of false or misleading information that convinced a client into a business agreement, leading to damages.
- Copyright infringement: if you allegedly used someone’s copyrighted work without permission.
- Defence costs: if a client sues you for professional mistakes concerning your services. Defence costs include attorney fees and other court-related expenses.
- Libel and slander.
You can still be taken to court even if you are not guilty of making professional mistakes.
Without professional indemnity insurance coverage, you’ll have to pay out-of-pocket fees.
What does professional indemnity insurance not cover?
Professional indemnity insurance typically does not cover the following situations.
- Bodily injury
- Accidental death
- Property damage
- Cyber attack claims
- Crime insurance claims (fraudulent impersonation, employees’ embezzlement)
- Directors & officers claims (mismanagement, abuse of authority, unfair practises, misrepresentation).
Who needs professional indemnity insurance in Cyprus?
Professional indemnity insurance is only obligatory in Cyprus for specific professions that are regulated by a governing body.
For example, financial companies and fund administrators regulated by CySEC, lawyer members of the Cyber Bar Association, and civil engineer members of ETEK are obligated to carry this insurance.
Many technology companies must also carry professional indemnity and general public liability insurance when doing business with an international company.
It’s wise for large international companies providing services to third parties in the EU, UK, and the USA to carry professional indemnity insurance as lawsuits have significantly increased in the last decade.
Public liability and professional indemnity insurance
Cyprus-based companies must sign a contract to purchase insurance from a reputable provider when doing business with large international companies.
In most circumstances, international companies require the following.
- Employers liability insurance
- General public liability insurance
- Professional indemnity insurance
- Workers compensation insurance (in some cases).
There may be another obligation for technology companies to acquire cyber insurance and multimedia insurance.
What’s the difference between general public liability and professional indemnity insurance?
The main difference between these coverages is found in the title of each.
Public liability insurance is designed for claims by members of the public for personal harm or property damage. In contrast, professional indemnity insurance covers claims by clients for professional mistakes or negligence.
While public liability insurance covers claims related to non-professional mishaps, professional indemnity insurance covers claims related to professional errors and omissions.
Accidentally breaking a client’s laptop is not deemed a professional mistake. Therefore, this type of accident will be covered by public liability.
A lawyer breaching his client’s confidentiality is a professional mistake. His client can take him to court, so this mistake will be covered under professional indemnity insurance.
Professional indemnity insurance Cyprus
Please see our article here to learn more about professional indemnity insurance in Cyprus.
Directors & officers insurance in Cyprus
Directors and officers (D&O) insurance protects corporate directors’ and officers’ (and their spouses) personal assets if they are personally sued by competitors, employees, vendors, customers, investors, or other third parties, for actual or alleged harmful acts in a company’s management.
How does directors and officers insurance work?
The insurance typically protects the company, directors, and officers and covers legal expenses, settlements, and other costs.
D&O insurance is a financial foundation for a standard indemnification provision, which safeguards directors and officers from losses resulting from their role in the company.
What does directors and officers insurance cover?
Directors and officers coverage covers directors and officers who are actually or allegedly involved in the following wrongful professional acts:
- Insolvent trading
- Contractual disputes
- Negligent supervision
- Misuse of company funds
- Theft of intellectual property
- Lack of corporate governance
- Poaching of competitor’s customers
- Misrepresentation of company assets
- Failure to disclose conflicts of interest
- Failure to comply with workplace laws
- Poor productive and economic results due to maladministration
- Mismanagement (imprudent investing, unauthorised fire selling, concealment of profits)
- Abuse of Authority. This might involve coercion, intimidation, humiliation, racial and sexual discrimination, and verbal violence
- Consumer protection violations. Consumer protection laws protect consumers from fraud and abuse resulting from business activities
- Breach of fiduciary duty that causes financial losses or bankruptcy. This allegation is born from claims that an executive or board didn’t act in the interest of the organisation they lead and instead acted in their own self-interest
- Self-dealing and conflicts of interest. This coverage is similar to a breach of fiduciary duty, self-dealing and conflict of interest arising if you prioritise yourself or your company’s financial goals over those of your clients or shareholders
- Unfair practices. An unfair trade practice claim involves an allegation that your business practices are fraudulent, deceitful, or cause harm to the customer. Examples are referral selling, unfair contract terms, pyramid schemes, and immoral conduct.
Directors and officers insurance covers the following expenses.
- Reimbursement and settlement costs
- Fines and sanctions (provided it is not penal). Cyprus legislation does not prohibit insurance companies from paying fines
- It protects the company’s assets from confiscation
- Protection from confiscation of the directors and their spouse’s assets
- Advertisement and restoration of reputation through a professional PR manager
- Company protection from reimbursement costs to indemnify directors and officers for their losses and legal expenses (e.g. prosecution expenses, defence expenses, extradition proceedings).
Who is insured under a directors and officers insurance policy?
D&O insurance is issued under the company name and not the names of directors or officers.
Directors’ names are not written on a D&O contract in Cyprus but need to be declared on the application form.
Nevertheless, this insurance provides coverage to many individuals not registered as directors.
Specifically, the following individuals can be covered under this contract.
- Risk managers
- De facto directors
- Shadow directors
- Independent counsellors
- Spouse or domestic partner
- Senior accounting officers
- Administrators or executors
- Heirs, legal representatives
- Nominee directors, non-executive directors and outside entity directors
- A managerial or supervisory employee of any company.
D&O insurance exclusions
- Money laundering
- Terrorism and war
- Pollution. Legal expenses are covered, but cleaning expenses are not (e.g. oil spills)
- Deliberately fraudulent acts or omissions. D&O insurance does cover wrongful acts, but the policy doesn’t cover deliberate acts of fraud or knowingly breaking the law
- Claims with prior notice. Every D&O policy includes a prior notice exclusion. This clause indicates that if there is prior knowledge of something that could lead to a D&O claim, it will be excluded from coverage
- Accidental death, bodily injury and property damage. D&O policies always include bodily injury and property damage exclusions. A commercial general liability insurance policy covers these events, so this exclusion limits any overlap between the two insurance policies
- Professional errors and omissions. This act is covered by professional indemnity insurance.
Directors and officers insurance vs professional indemnity insurance in Cyprus
There is usually confusion surrounding the differences between professional indemnity (PI) insurance and directors and officers (D&O) insurance.
Professional indemnity insurance protects professionals against third-party claims arising from their alleged mistakes or omissions that took place in a professional capacity.
It covers professionals against liability resulting from their negligent or irresponsible services.
Both D&O insurance and professional indemnity (PI) insurance are types of liability insurance that cover financial losses originating from claims of negligence, errors, or omissions.
While they are similar coverages, they have their differences. The main differences between these coverages include the following.
Insured parties. Directors liability insurance protects a company in case they come up against legal scrutiny for the management of its services. In contrast, professional liability insurance protects a company and individuals that provide professional services.
Nature of claims. D&O liability insurance is designed to cover claims arising from a company’s decision-making that resulted in financial losses for a company or its shareholders.
In contrast, professional liability insurance is designed to protect against claims arising from the wrongful delivery of professional services to a company’s clients.
Directors & officers insurance Cyprus
If you would like to learn more about directors & officers insurance in Cyprus, please see our article here.
Cyber insurance in Cyprus
Cyber insurance in Cyprus is an invaluable insurance product for companies that handle their customer’s personal data (i.e. credit cards, tax records, medical records) and companies that provide technology services to third parties.
Cyprus-based companies are frequently under obligation to acquire cyber insurance from a reputable insurer when doing business with a large international company.
In many cases, these international companies ask for cyber insurance, general public liability insurance, and professional indemnity insurance.
How does cyber insurance work?
Cyber insurance, or cyber liability and cyber security insurance, is a contract designed to help individuals and companies reduce the financial risks of managing online businesses.
Cyber liability insurance helps to cover costs associated with data breaches and cyber-attacks.
Data Breaches. In general, cyber insurance covers liability for data breaches involving personal customer information, such as credit card numbers, social security numbers, driver’s licence numbers, and health records.
Cyber attacks. It also deals with cyber attacks. Examples of cyber attacks include the following.
- Web Attacks
- MITM Attacks
- Password Attack
- Phishing Attacks
- Data Breaches
- URL Interpretation
- SQL Injection Attack
- DoS and DDoS Attacks.
Cyber insurance coverages in Cyprus
Policies vary, but most insurers in Cyprus have sets of standardised cyber insurance coverages.
The following list includes the cyber cover insurance available in Cyprus.
What does cyber insurance cover?
- Detection expenses (First response)
- Computer crime
- Telephone hacking
- Goodwill restoration
- Event management
- Network interruption
- Electronic data incident
- Cyber extortion (ransomware)
- Digital media
- Network interruption - system failure
- Network interruption (OSP - outsourced service providers)
- Data protection & cyber liability insurance coverage
- Social engineering (as an additional coverage).
Detection expenses (First response). Most companies cannot resolve an IT issue alone, especially a suspected cybersecurity breach.
The first response portion in a cyber insurance contract provides companies with on-call emergency support services when a breach is detected.
Computer crime. Criminals fraudulently transfer funds from one financial account to another through electronic fund transfer fraud.
This portion of the insurance covers any financial loss related to this kind of activity and cybersecurity breach.
Telephone hacking. Online businesses face risks of telephone hacking as well as being hacked online. Criminals target telephone systems to call premium rate numbers, known as PBX dial-through fraud.
Cyber security insurance covers the unauthorised use of a business’s telephone system, no matter where the incident took place.
Goodwill restoration. A business’s reputation and customer relationships can be negatively impacted by cyber breaches.
Goodwill restoration helps to restore the reputation of the company and provides discounts for customers who were affected by the cyber incident.
Event management. It takes time and resources to recover from a cyber-attack.
This portion of the insurance helps to coordinate events and pays for expenses such as IT and PR services, data restoration, legal fees, and breach notification costs.
Network interruption. This portion of a contract covers losses of income and mitigation costs when businesses face interruptions in their operation due to a cyber security issue.
Electronic data incident. Not only do cyber security breaches cause the loss or corruption of personal data - vandalism, theft, natural disasters, and power surges also cause lost data.
This portion of the coverage covers accidental damage or destruction of electronic systems.
Cyber extortion (ransomware). Businesses are often targeted by cybercriminals who use ransomware to hold businesses hostage until they can pay to unlock their encrypted data.
This coverage helps businesses recover from losses after an extortion threat, including the cost of the ransom and specialist expenses for ending extortion.
Digital media. In today’s fast-paced information age, businesses run the risk of presenting misinformation as facts, trademark infringement, and sharing harmful content online.
This portion of a contract covers costs associated with negligence related to electronic content or a third-party intellectual property breach.
Network interruption - system failure. Network interruption losses and system failures can also be caused by outages.
Network interruption covers loss and mitigation costs that result from an internal system failure unrelated to a cybersecurity breach.
Network interruption (OSP - outsourced service providers). Outsourced service providers (OSPs) provide the platform for payment processing, online web hosting, and data storage.
This portion of the coverage extends network interruption to include costs associated with OSP security or system failures.
Data protection & cyber liability insurance coverage. This portion of the coverage responds to third-party liability claims resulting from network security failures.
Defence costs, liability claims, and PCI investigation fines are covered by data protection and cyber risk insurance.
What does cyber insurance not cover?
Most cyber insurance contracts in Cyprus do not provide the following coverage.
- Impersonation (Social engineering - an additional coverage)
- Ransomware (An additional coverage)
- Rogue employees
- Crime claims
- Data breaches
- Unauthorised access
- Misleading communications
- Professional errors and omissions
- Accidental death, bodily injury, and property damage.
To read about the biggest cyber attacks in recent years, see our article here.
Cyber insurance Cyprus
To find out more about cyber insurance in Cyprus, see our article here.
How much is business insurance in Cyprus?
As mentioned, business insurance contracts can include many coverages and components.
Business insurance cost in Cyprus
Below we will present the main factors that define the cost for each coverage of commercial insurance in Cyprus.
Business property insurance
- Value of the building (in the case you own it)
- Value of the contents of the property (acquisition value).
Commercial car insurance
- Vehicle horsepower
- Value of the vehicles
- Experience and claim history of drivers.
Employers liability insurance
- Number of employees
- Duties of employees (description of work carried out by employees by class of duties)
- Whether the employees engage in manual labour. Insurance costs increase when the likelihood of getting hurt increases (e.g. manual labour)
- The annual gross salary of each employee.
General public liability insurance
- The company turnover
- The general activities of the company
- Clientele and contract information
- The type of product that the company sells
- The value of product produced or sold within the year
- Whether the products are installed or demonstrated.
Business interruption insurance
- The annual turnover of the company.
Business health insurance
- The activity types that the company engages in
- The number of employees and their dependents
- The ages and gender of employees and dependents
- Employee (and dependents) medical condition (pre-existing and past conditions)
- The type of underwriting (full underwriting, moratorium, medical history disregarded)
- Whether you picked an international or local plan
- Whether the plan includes outpatient expenses
- Whether the plan includes additional benefits (maternity, dental, ophthalmologist etc.)
- The policy’s limit of coverage.
Professional indemnity insurance
- The type of your company’s activities
- The turnover of the company
- The required limit of liability and the requested deductible
- The number of licensed professionals working in your company, their qualifications, and experience in similar positions
- The territorial limits of coverage
- Jurisdiction of your business
- Whether you use freelancers and oblige them to carry professional indemnity insurance
- Whether you use standard contracts
- Whether you are a B2C or B2B company. If you are a B2B provider, which is your largest contract?
Directors & officers insurance
- Your business activities
- Whether the company was involved in an acquisition or merger
- The turnover of your company, net income, total assets, current assets, and current liabilities for the last three years
- If there have been any changes in the list of directors and officers in the last two years
- The number of subsidiary companies
- The required limit of liability and the requested deductible
- The number of shareholders and directors
- The jurisdiction of your business.
- Your policy’s limit of liability
- The activities your business engages in
- The annual turnover of the company
- Your territorial limits
- The jurisdiction and choice of law
- The amount of sensitive personal information you process and store (i.e. payment card information, financial account information, health-related information, employee personal information)
- Whether you share client information with third parties (e.g. the Cambridge scandal of Facebook)
- Whether you outsource IT/Data services to third parties
- Whether you have a chief privacy officer.
Affordable business insurance
Pitsas Insurances is the most renowned provider of business insurance contracts in the whole of Cyprus and also the biggest insurer of international companies.
Our company cooperates with the largest international underwriters (such as Munich RE, Zurich Insurance, Markel Insurance, and Swiss RE) and with all of the few local underwriters based in Cyprus.
Our experience level, the number of contracts we handle, and the excellent relationships with our underwriters put us in the best position to secure the most profitable deals for our clients.
Beneficially for our clients, we also provide discounts on the predetermined premiums that our underwriters set.
Cheap commercial insurance in Cyprus
If you are looking for cheap business insurance, we can use your budget constraints to find you the most affordable option.
Small Business Insurance in Cyprus
Pitsas Insurances believe that all companies deserve the right to acquire an affordable business insurance product, regardless of their size.
Because of that, we have created special packages for small businesses to help insure those who find it challenging to get insured at decent rates.
Small Business Insurance in Cyprus
Our insurance for small business package includes:
- Business property insurance
- Public liability insurance (€100,000)
- Employers liability insurance (the minimum coverage required by the Cypriot Law, which is €160,000).
Best business insurance Cyprus
The best business insurance in Cyprus is designed around the needs of the insured. In other words, there isn’t one business policy that is the best, but there is a policy best suited for you and your business.
Our experienced insurance consultants analyse your needs and budget constraints to guarantee you’re insured correctly.
We also guarantee that our contracts have fewer exceptions than similar contracts in Cyprus, and we boast the highest claim management satisfaction rate in the industry.
Pitsas Insurances cooperate with more international underwriters than any other insurance company in Cyprus, enabling us to find the best deals for our clients.
With our expertise, we are confident that we will find the best option for business insurance in Cyprus for your business.
Online business insurance Cyprus
Commercial insurance in Cyprus is a complex product that requires our underwriter’s expertise and careful assessment.
We make an otherwise complicated process into a hassle-free experience.
Business insurance quotes in Cyprus
Operating since 1985, Pitsas Insurances is a reputable and prestigious insurance provider with over 35 years of experience in the industry.
We cooperate with the largest underwriters in the industry and can arrange the most desirable quotes for you directly by comparing the best offers around.
Business Insurance in Cyprus
For more information about what business insurance can do for you, and if you would like to compare business insurance quotes in Cyprus, visit our website and receive an offer.
Please complete our online questionnaire, and we will send you an offer within a few hours.
Pitsas Insurances Team