AIG Launches Data-Breach Insurance

AIG Healthcare, a division of American International Group, Inc. has introduced AIG Healthcare Security & Liability Insurance, a portfolio of coverages designed to protect healthcare companies against the negligent handling of private data.

In addition to coverage for third-party liability, the new type of insurance will cover specified costs of crisis management when a security breach occurs. Those include costs to notify consumers of a data breach as required by law, costs to provide credit monitoring and other related services for consumers affected by a data breach.