Who experience a breach of their payment card security system
US-based Fireman’s Fund Insurance Company has announced that it is introducing coverage for retailers that experience a breach of their payment card security system.
Payment card security insurance as said by Fireman’s Fund Insurance Company offers reimbursement for contractual penalties, chargebacks and payment card reissuing expenses outlined in the business’ merchant service agreement; upgrades to software and hardware systems to bring the payment system into compliance; extra expense for late payment fees and other bank service charges related to the data breach; crisis management expenses to restore reputation and extra expense for promotional items such as restaurant gift certificates or service coupons for the affected individuals in the data breach.
Brian Gerritsen, product director of Fireman’s Fund Insurance, said: It is very important for merchants to be aware of and be prepared to absorb the additional expenses associated with a payment card data breach. A substantial contractual penalty or expensive payment system upgrade could be financially devastating for a small business.
Fireman’s Fund’s parent company, Allianz SE, of Munich, Germany, is among the largest property and casualty insurers and financial services providers in the world. Allianz purchased Fireman’s Fund in 1991. In addition to Fireman’s Fund, Allianz maintains substantial operations in France, Italy, the United Kingdom, Switzerland, Spain, as well as in the regions Central and Eastern Europe and Asia Pacific.